European Chlorine Sector Braces For Conversion.(Brief Article)(Statistical Data Included)

EUROPEAN UNION (EU) regulations that will require the phase-out of mercury-cell chlorine manufacture give producers until 2007 to decide whether to idle their units or invest an estimated $80 million/plant to convert to membrane-cell technology. Mercury-cell processing accounts for 55% of chlorine production in Europe. The phase-out will cost European producers an estimated $3.5 billion; about 10% of mercury-cell process plants will not be converted, experts say.

Paying for conversion is a tall order for players in the European chlorine market, where demand has declined sharply in the last 10 years. "If chlorine and caustic prices are not retained at today's relatively high levels, the industry will not be able to afford to convert," says …