London +4420 814 42225
Moscow +7495 543 9194
Kiev +38044 599 2950
info@mrcplast.com

Our Clients

Order Informer

 
Home > News >
 

Schneider Electric invests USD40 million to strengthen US supply chain

December 01/2020

MOSCOW (MRC) -- Schneider Electric, a leader in the digital transformation of energy management and automation, announced an additional USD40 million investment towards modernizing its US manufacturing plants in Iowa, Kentucky, Nebraska, and Texas, according to Hydrocarbonprocessing.

The monies will go towards innovative technologies and new production lines that will help increase Schneider Electrics capacity of operations in the US for its customers, as well as further develop its local workforce.

COVID-19 placed a spotlight on the critical vulnerabilities global manufacturing and supply chains can face during unprecedented disruption. This additional stake in the US is part of a larger, strategic approach to strengthen resilience, increase flexibility, and safeguard its supply chain. The initiative will provide Schneider Electric with greater control of its production processes that will help them deliver quality products and services to its customers, while introducing new learning opportunities to the workforce.

This investment demonstrates our continued commitment to both our customers and our employees, while setting the foundation for the future, said Annette Clayton, CEO and president, Schneider Electric North America. We now have the technology and resources available to expand and efficiently produce more locally. By modernizing and localizing our operations, we can better serve our customers and minimize the risk of interruption when we face the challenges of global economic changes.

For example, Schneider Electrics smart factory in Lexington, KY recently earned the distinction of 4th Industrial Revolution (4IR) Advanced Lighthouse by the World Economic Forum, becoming the third of its factories to receive this honor. The factory was recognized for its success in adopting Industry 4.0 technologies at scale with demonstrated benefits around energy efficiency, sustainability and overall cost savings, while offering increasing agility and resiliency within the operation.

As US-based companies increasingly look to reshore more of their manufacturing operations, the industry is creating more jobs that will require a new wave of a skilled workforce to fill them. In Schneider Electrics case, the company has hired and pledges to hire 130 new employees through early 2021. This new era of investing in smart manufacturing and automation tools is not only introducing the opportunity to upskill the industrial workforce, but it can help attract new talent and have a positive impact against the skills gap concerns the industry faces. As part of this investment, Schneider Electric employees will receive more digital training opportunities and tools that will enable them to adopt new skill sets and work more efficiently in a modern setting.

As MRC reported earlier, Royal Dutch Shell may begin the permanent shutdown of its 211,146 bpd Convent, Louisiana, refinery early this week. Shell announced on Nov. 5 the refinery, located 57 miles (92 km) west of New Orleans, was to close after the company failed to find a buyer amid the COVID-19 pandemic. The Convent refinery is the first U.S. Gulf Coast refinery to permanently close because of the pandemic-related decline in demand for refined products. Eight other North American plants have been idled or targeted for shutdowns.

We remind that Royal Dutch Shell plc. said earlier this month that its petrochemical complex of several billion dollars in Western Pennsylvania is about 70% complete and in the process to enter service in the early 2020s. The plant's costs are estimated to be USD6-USD10 billion, where ethane will be transformed into plastic feedstock. The facility is equipped to produce 1.5 million metric tons per year (mmty) of ethylene and 1.6 mmty of polyethylene (PE), two important constituents of plastics.

Ethylene and propylene are feedstocks for producing PE and polypropylene (PP).

According to MRC"s ScanPlast report, Russia's estimated PE consumption totalled 1,594,510 tonnes in the first nine months of 2020, up by 1% year on year. Only high density polyethylene (HDPE) shipments increased. At the same time, PP shipments to the Russian market reached 880,130 tonnes in the nine months of 2020 (calculated using the formula: production minus exports plus imports, excluding producers" inventories as of 1 January, 2020). Supply increased exclusively of PP random copolymer.


mrcplast.com
Author:Margaret Volkova
Tags:PP, PE, crude and gaz condensate, PP random copolymer, propylene, HDPE, ethylene, petrochemistry, Shell, Russia, USA.
Category:General News
|
| More

Leave a comment

MRC help

 


 All News   News subscribe