United States Butadiene Plant Plans To Close

On October 9, Lion Elastomers announced plans to cease operations at its rubber production facility in Orange, Texas, which it acquired from Firestone Polymers in 2019.

This decision will affect about 100 employees who have been working at the plant since 1961, excluding contractors.

Lion stated: "The North American butadiene rubber market is experiencing rapid and profound changes, with a significant decline in demand and profitability."

Despite significant investments in improving technological capabilities and product offerings over the past five years, the company stated that halting production in Orange is crucial to its long-term growth and resilience positioning strategy.

The factory produces polybutadiene and styrene-butadiene copolymers under the brands Stereon, Diene, and Duradene, retaining these brands after the acquisition in 2019.

Lion's Vice President of Elastomer Manufacturing, Bobby Rikhoff, commented that the decision to gradually reduce rubber production "was not made lightly." Before making this decision, the company "explored many options."

In addition to the Orange plant, Lion also operates a factory in Geismar, Louisiana, and another in Port Neches, Texas.