June 1, 2026 · Contributor
ExxonMobil has suspended operations at one of its chemical manufacturing plants in Singapore, citing unfavorable market conditions, according to report in local media. The decision to mothball the unit removes 900,000 metric tons per year of ethylene production capacity from the market.
ExxonMobil’s Singapore complex operates two steam cr--kers with a combined annual ethylene production capacity of 1.9 million metric tons. Cr--ker No. 2, which remains in operation, has capacity of 1 million metric tons per year.
The U.S.-based energy major said the affected facility is Cr--ker No. 1, one of two steam cr--kers it operates in Singapore. The unit, which began operations in 2002, has an annual ethylene production capacity of 900,000 metric tons.
“We will continue to work with our customers to meet their needs by leveraging our global asset base and product inventory. If market conditions improve, we have the capability to restart the unit,” the company said.
The shutdown highlights the pressure facing petrochemical producers as challenging market conditions continue to weigh on manufacturing economics. While ExxonMobil has idled the unit, the company indicated that the facility could be restarted if market conditions improve.
Ethylene is a key petrochemical building block used to manufacture a wide range of products, including synthetic lubricants and lubricant additives. In the lubricants sector, ethylene-derived materials are used in the production of certain synthetic base stocks, viscosity modifiers and performance additives that help improve efficiency, durability and temperature performance.
https://www.lubesngreases.com/lubereport-americas/11_22/weak-market-pushes-exxon-to-shut-singapore-cr--ker/