Shintech investing $1.3B to expand facilities in Iberville, West Baton Rouge


Shintech Louisiana is investing $1.3 billion to expand its manufacturing and packaging facilities in Iberville and West Baton Rouge parishes, Gov. John Bel Edwards’ office announced Jan. 26.

The company will make a $1.25 billion investment to increase its polyvinyl chloride resin, or PVC, manufacturing capacity, and to expand its chlor-alkali and vinyl chloride monomer capacity at its manufacturing facility in Plaquemine, which was announced in 2018 and is expected to be completed this year. Moreover, Shintech will grow its PVC packaging and warehouse operation in Addis.

It comes at a time when Shintech—a wholly owned subsidiary of Japan-based Shin-Etsu Chemical Co. Ltd—is trying to keep pace with the demand for PVC, a versatile and durable product used in a variety of applications in the building and construction industries as well as in health care, electronics, automotive and other sectors.

In Plaquemine, Shintech’s manufacturing expansion will create 30 new direct jobs with an average annual salary of $86,000, plus benefits, according to Louisiana Economic Development.

Shintech will retain 530 existing jobs at the Iberville and West Baton Rouge facilities, where the company has operated since 1999. The company expects the expansion to create up to 2,400 construction jobs, with construction slated to wrap toward the end of 2023.

The announcement has attracted a groundswell of support from state and local officials thus far, including Edwards, Iberville Parish President J. Mitchell Ourso Jr., West Baton Rouge Parish President Riley L. Berthelot Jr., Port of New Orleans President and CEO Brandy D. Christian, and Baton Rouge Area Chamber President and CEO Adam Knapp.

LED began discussions with Shintech about the potential expansions last year. To secure the project, the state offered Shintech a competitive incentive package that includes LED FastStart, as well as a performance-based grant of up to $6.6 million for the construction, procurement and installation of infrastructure to support the expansion.

The grant is payable in four installments, contingent upon the company reaching investment and production benchmarks. The company also is expected to utilize Louisiana’s Quality Jobs and Industrial Tax Exemption programs.