Sesoda maintains SOP force majeure

Taiwanese SOP producer Sesoda is maintaining its force majeure pending final approval on its granulation production lines.

Sesoda is producing SOP at certain lines, but its granulated SOP is yet to be fully signed off by the relevant local government inspectors. Further details around the delayed approval were undisclosed.

The company's force majeure declaration will remain in place pending successful operation of all lines, it said. It now aims to have all lines approved and operating normally during April, meaning the force majeure could be in place for around six months or more.

Sesoda shut down the 130,000 t/yr facility at Su'ao on 11 October 2018 following an inspection by Yilan county government officials. The plant, which was designed over 40 years ago, did not comply with current industrial standards and regulations and it was required to carry out compulsory repairs, upgrading and redesign work.

The firm initially hoped to restart production in November 2018, but this was not achieved until January this year.

Sesoda produces a range of SOP products including standard and granular grades. It is a regular supplier to nearby markets such as Australia and Japan, as well as further afield including South Africa and Latin America.

Taiwanese SOP exports slumped during the fourth quarter of 2018 because of the Sesoda shutdown to 26,600t, down from 43,100t a year earlier.