Specialty chemicals group Celanese has proposed a reduction of acetate tow production capacity by 50% to employee representatives at the company’s plant in Lanaken, Belgium, the company announced on Wednesday.

“This proposal results from ongoing changes in the global demand for acetate tow products, especially inEurope, which has been declining and further shifting to Asia and developing countries, and is not in any way a reflection on the employees,” said Lou Purvis, vice president and general manager of the consumer specialties segment at Celanese. 

“Going forward, given the capacity and capability of our global production assets, we are confident in our ability to reliably supply customers in the future from our facilities in Narrows, Virginia; Ocotlan, Mexico; and from the remaining capacity at the Lanaken plant," he added.

Celanese’s Lanaken site leaders will fully consult on the proposal with employee representatives and support them through this process, according to company officials.

The company says it is committed to engaging in a transparent and constructive dialogue with its employee representatives; and if the company decides to implement the proposal, will work to assist employees with job search and career counselling.

Celanese’s Lanaken plant is located in the Belgian province of Limburg and has a current nameplate capacity of approximately 52,000 tpy and employs about 240 employees.

Celanese’s current global acetate tow capacity is 177,000 metric tons.