SCC to restart ROC plant amid ASEAN production base shift

MGR Online•Economy•16m ago

Reader Briefing

Siam Cement Public Company Limited (SCC) expects growth from the long-term structural shift of supply chains to Thailand and ASEAN.

•SCC is preparing to restart the Rayong Olefins Company (ROC) plant after resolving raw material shortages.
•Investment inflows into Thailand are expanding beyond Data Centers into Biotech, Decarbonization, and Green Economy sectors.
•The Long Son Petrochemicals (LSPE) project in Vietnam is expected to be completed by mid-2027, ahead of the original end-of-next-year schedule.

•Investment flows and supply chain shifts to Thailand and ASEAN are described by Thammasak Sethudom as long-term structural changes rather than temporary measures.
•Thammasak Sethudom stated that Thai businesses must develop ASEAN strategies to compete with cheap consumer goods from China.
•The arrival of Data Center investments and other industries has positively impacted SCC's cement, steel, and petrochemical businesses.
•SCC is considering restarting the Rayong Olefins Company (ROC) plant after securing naphtha and propane from sources other than the Middle East.
•The Rayong Olefins Company (ROC) plant previously stopped production due to naphtha shortages caused by the closure of the Strait of Hormuz during the Middle East war.
•The flexibility project for using ethane gas at Long Son Petrochemicals (LSPE) in Vietnam is expected to finish by mid-2027.
•The completion of the Long Son Petrochemicals (LSPE) project is expected to increase EBITDA by billions of baht.
•Low global oil reserves, at the lowest level in 44 years, create a risk of rising oil and plastic resin prices.

Full article content is available on the original source.

Siam Cement Public Company Limited(ปูนซิเมนต์ไทย)

A company known as SCC with production bases in Thailand, Vietnam, and Indonesia.

SCC

The abbreviated name for Siam Cement Public Company Limited.

Rayong Olefins Company(ระยองโอเลฟินส์)

An entity referred to as ROC whose plant is being prepared for restart.

Long Son Petrochemicals(ลองเซิน ปิโตรเคมิคอลส์)

An entity referred to as LSPE with a project in Vietnam.

Thammasak Sethudom(ธรรมศักดิ์ เศรษฐอุดม)

The President of Siam Cement Public Company Limited.

Thailand(ไทย)ℹ️

A country receiving investment inflows and supply chain shifts.

ASEAN(อาเซียน)ℹ️

A region seeing a shift in production bases and capital movement.

Vietnam(เวียดนาม)ℹ️

A country where SCC has a production base and the Long Son Petrochemicals project.

Indonesia(อินโดนีเซีย)ℹ️

A country where SCC has a production base.

China(จีน)ℹ️

A source of cheap consumer goods entering the Thai market.

Middle East(ตะวันออกกลาง)ℹ️

A region where war and the closure of the Strait of Hormuz affected naphtha shipping.

Strait of Hormuz(ช่องแคบฮอร์มุซ)ℹ️

A waterway whose closure prevented naphtha shipments from the Middle East.