Ineos Phenol Confirms Permanent Closure of Gladbeck Plant as Europe Faces Industrial Decline

On June 17, Ineos Phenol, the world’s largest producer of phenol and acetone, announced plans to permanently cease operations at its Gladbeck plant on a yet-to-be-determined date. The company cited soaring energy costs and the EU’s carbon tax policies as key factors undermining Europe’s global competitiveness, particularly against Chinese imports and a global oversupply of phenol and acetone.

Ineos emphasized that the loss of competitiveness has forced numerous downstream consumers of phenol and acetone to exit the market, leading to insufficient local demand to sustain the plant.

Chairman Jim Ratcliffe issued a warning about the broader implications of current policies: “This closure is the result of Europe’s failure to ensure energy competitiveness and its fixation on punitive carbon taxes. These policies are driving widespread deindustrialization across Europe. If regulators do not take action, Gladbeck will not be the last plant to close.”

The closure highlights the severe challenges faced by European industries as they battle rising costs and regulatory pressures, risking further economic and industrial decline across the continent.