ABOMINABLE AUGUST: Formosa Plastics Group’s four major companies saw revenue decline mainly due to weak product prices, sluggish demand and plant maintenance
Taipei Times
Date: Sep 07, 2019
By: Kwan Shin-han / Staff reporter
Formosa Plastics Group’s (FPG, 台塑集團) four major units reported disappointing sales for last month, as product prices dropped further amid languid demand.
Formosa Chemicals & Fibre Corp (FCFC, 台灣化學纖維), which manufactures integrated plastic and nylon products, saw sales decline 28.62 percent annually and 5.36 percent monthly to NT$25.99 billion (US$831.5 million), as its major products’ prices declined by more than US$200 per tonne compared with a year earlier, company vice chairman Hong Fu-yuan (洪福源) told a media briefing in Taipei.
The company’s No. 3 aromatics plant in Yunlin County’s Mailiao Township (麥寮) and its Vietnamese plant also underwent annual maintainance, which affected shipments of plastics and nylon products, he said.
“Longer maintenance at our plants will make sales this quarter lower annually and quarterly,” Hong said, but added that next quarter would be better as utilization rates would return to normal.
[FULL STORY]