MOSCOW (MRC) -- 3M will be restructuring and streamlining its business in the wake of shifts in the global economy caused by the coronavirus pandemic, said the company.
3M said the move will streamline its business and invest more in health care, e-commerce and home improvement. The company's restructuring efforts will cost the company up to USD300 million before taxes.
3M added this move will position the company for greater growth as global markets emerge from the pandemic. "The company will further enhance its operations and marketing capabilities," 3M said. "In operations, 3M will eliminate redundancies and better use analytics to drive additional efficiencies. In marketing, 3M will build on its success in utilizing data insights, accelerating global marketing programs, and activating digital engagements with customers."
3M cut 1,500 jobs back in January amid a trade war between the United States and China. "The COVID-19 [coronavirus] pandemic has advanced the pace of change and disrupted end markets around the world, increasing the need for companies to adapt faster," said Mike Roman, 3M chairman and CEO.
"As a result, we are taking further actions to streamline our operations, positioning us to deliver greater growth and productivity as global markets emerge from the pandemic," he said. Please also visit the ICIS topic page on coronavirus impacts and the oil price crash.
As it was said earlier, 3M Co said it would restructure its business into four operating units from five, as it looks to sharpen its focus on customers and boost growth. The company’s shares fell 1 percent in early trading after it announced the four units - safety & industrial, transportation & electronics, healthcare and consumer.
Ethylene and propylene are feedstocks for producing PE and PP.
According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,760,950 tonnes in the first ten months of 2020, up by 3% year on year. Only high density polyethylene (HDPE) and linear low density polyethylene (LLDPE) shipments increased. At the same time, PP shipments to the Russian market reached 978,870 tonnes in January-October 2020 (calculated using the formula: production minus exports plus imports minus producers' inventories as of 1 January, 2020). Supply of exclusively of PP random copolymer increased.
MRC