INEOS plans to close Grangemouth ethanol plant in first quarter of 2025

INEOS O&P UK has announced plans to close its ethanol plant in Grangemouth in the first quarter of 2025 and is consulting with local employees and unions on the proposal.

The decision follows a lengthy review and is the result of reduced demand for ethanol in Europe and increased ethanol import pressure elsewhere. This resulted in Grangemouth's ethanol business losing money for several years.

Stuart Collings, chief executive of INEOS O&P UK, said: "Closing any site is never easy and we have made this recommendation only after a very thorough analysis. Consultation with our colleagues has now begun, meaning we can start planning for redeployment and a phased shutdown plan in a structured way. All employees working on ethanol will have other roles within our business. In addition, customers will be supplied with ethanol from another INEOS plant in Herne, Germany. "