SABIC temporarily halts production at Alabama plant

In its letter to customers, Saudi Basic Industries Corp. (SABIC) announced temporary suspension in its production of polycarbonate resins under the Lexan brand and PC/ABS alloys under the Cycoloy brand at its Burkville, Alabama plant. 

 

The company cited problems with certain equipment at its plant that caused a series of equipment failures and the need to conduct repairs. It expects the plant  to resume operation within 5 weeks.  

 

SABIC also anticipates that demand for Lexan resins from its customers in the Americas will exceed available supplies. It is implementing an allocation program beginning with shipments scheduled on June 19. SABIC will fulfill orders scheduled for shipment before June 19 to the best of its ability, according to the letter.  

 

Aside from the Alabama plant, SABIC also produces PC resin at  another plant located in Mount Vernon, Indiana.  The company has been encountering problems with its delivery to customers in North America since October when it began using a new ERP computer system.