3.4 Billion Dollar Investment Shintech to Expand Manufacturing Capabilities in Louisiana, USA

Source: Press release Shintech 3 min Reading Time

Shintech has announced a 3.4-billion-dollar investment to develop a second ethylene unit and a fourth chlor-alkali and vinyl chloride monomer unit at its existing Iberville Parish facility in Louisiana, USA.

Shintech Louisiana has recently announced a 3.4-billion-dollar investment to bolster its manufacturing capabilities in the state. (Source:  Pixabay)
Shintech Louisiana has recently announced a 3.4-billion-dollar investment to bolster its manufacturing capabilities in the state.
(Source: Pixabay)

Plaquemine/USA – Shintech Louisiana has recently announced a 3.4-billion-dollar investment to bolster its manufacturing capabilities in the state. The project includes construction of a second ethylene unit and a fourth chlor-alkali and vinyl chloride monomer unit at the company’s existing Iberville Parish facility, marking the next phase of the company’s long-term growth in Louisiana.

The company is expected to create 163 direct new jobs with an average annual salary of 117,329 dollars, which is 42 % above the average Iberville Parish wage, while retaining 725 current positions. Louisiana Economic Development estimates the project will result in an additional 655 indirect new jobs, for a total of 818 potential new job opportunities in the Capital Region.

“From energy to advanced manufacturing, Louisiana powers the industries that sustain America’s economy,” Governor Jeff Landry said. “Shintech’s decision to make a 3.4-billion-dollar reinvestment after 25 years in our state speaks volumes. This expansion strengthens one of the world’s leading process industries hubs and reinforces Louisiana’s role as a global industrial powerhouse.”

Shintech began operations in Louisiana in 2000 and has continued to upgrade and expand its facilities to meet global demand for PVC and related products. This expansion will strengthen the company’s competitive position by deploying state-of-the-art technologies designed to reduce environmental emissions per pound of PVC and caustic soda produced.

“We are pleased to announce our continued growth and investment in Louisiana,” President of Shintech Yasuhiko Saitoh said. “This investment aligns with Shintech’s strategy to ensure reliable and cost-effective supply of key feedstocks for our business. We are extremely grateful to Louisiana’s state and parish officials and to our neighbors whose strong support and understanding has been integral to Shintech’s growth and success in Louisiana.”

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The project is expected to generate thousands of construction jobs and approximately 100 new nested contractor positions. Over the past two decades in the region, Shintech has demonstrated a strong commitment to local hiring. Of the company’s current technicians — its largest employee group, — 68 % reside in Iberville and West Baton Rouge parishes, and 57 % of Shintech Louisiana’s total employees live in those two parishes. The expansion will continue to utilize the company’s established employee training program to identify and prepare local residents and underemployed individuals in the region to meet hiring needs.

“Shintech’s expansion underscores the continued strength of Louisiana’s manufacturing sector and the importance of resilient, reliable energy infrastructure,” Entergy Louisiana President and CEO Phillip May said. “We are proud to support this significant investment in Iberville Parish by delivering the dependable power solutions that large-scale industrial customers require to grow and create opportunities for our communities. Projects like this demonstrate how strong collaboration between industry, utilities and state leadership drives long-term economic opportunity for all of Louisiana.”

Construction will be executed in phases, beginning with a second ethylene unit and additional chlor-alkali and vinyl chloride monomer production units. The first phase is expected to be completed in 2030.

To secure the project in Plaquemine, the state of Louisiana offered Shintech Louisiana a competitive incentives package that includes the comprehensive workforce development solutions of Led Faststart and 23.5-million-dollar performance-based grant tied to equipment investments and infrastructure improvements. The company is also expected to participate in the state’s Industrial Tax Exemption and Quality Jobs programs.

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