Braskem Fully Shuts Down Chlor-Alkali Plant in Brazil
2025-10-23
On October 16th, local trade union leaders revealed that Brazil¡äs Braskem has completely shut down its chlorine and caustic soda production plant in Macei¨®, Brazil, and plans to demolish it for waste disposal. However, the company will continue to operate downstream polyvinyl chloride (PVC) and vinyl chloride monomer production lines, with the required raw material ethylene dichloride to be imported from the United States.
The Macei¨® chlor-alkali plant has a caustic soda production capacity of 460,000 tons per year. Currently, Brazil¡äs remaining total caustic soda capacity is 1.3 million tons per year. Unipar Carbocloro is Brazil¡äs largest chlor-alkali producer, with a combined capacity of 607,000 tons per year across its 4 plants; followed by Dow, whose single plant has a capacity of 468,000 tons per year.
On October 14th, a PVC trader stated that two distributors and several Braskem customers had confirmed the shutdown of the Macei¨® chlor-alkali plant. The person pointed out that both the PVC and polyethylene markets will be significantly affected.
Brazil is the primary destination for U.S. caustic soda exports. As Brazil¡äs main caustic soda supplier, U.S. producers will see increased demand due to Braskem¡äs withdrawal. According to data from the U.S. International Trade Commission, from January to July 2025, Brazil accounted for 53% of U.S. caustic soda exports, the same as the same period in 2024. A Brazilian market source revealed that Braskem¡äs contracted customers are already seeking alternatives, including contacting external suppliers and another Brazilian caustic soda producer, Unipar.
The Macei¨® chlor-alkali plant has a caustic soda production capacity of 460,000 tons per year. Currently, Brazil¡äs remaining total caustic soda capacity is 1.3 million tons per year. Unipar Carbocloro is Brazil¡äs largest chlor-alkali producer, with a combined capacity of 607,000 tons per year across its 4 plants; followed by Dow, whose single plant has a capacity of 468,000 tons per year.
On October 14th, a PVC trader stated that two distributors and several Braskem customers had confirmed the shutdown of the Macei¨® chlor-alkali plant. The person pointed out that both the PVC and polyethylene markets will be significantly affected.
Brazil is the primary destination for U.S. caustic soda exports. As Brazil¡äs main caustic soda supplier, U.S. producers will see increased demand due to Braskem¡äs withdrawal. According to data from the U.S. International Trade Commission, from January to July 2025, Brazil accounted for 53% of U.S. caustic soda exports, the same as the same period in 2024. A Brazilian market source revealed that Braskem¡äs contracted customers are already seeking alternatives, including contacting external suppliers and another Brazilian caustic soda producer, Unipar.