March 16, 2025 – LyondellBasell Announces Major Propylene Production Expansion in Channelview, USA
Global chemical giant LyondellBasell has recently unveiled plans to construct a new propylene production facility at its integrated Channelview complex near Houston, USA, as part of its strategy to boost production capacity.
The groundbreaking ceremony for this ambitious project is anticipated in the third quarter of 2025, with construction spanning several years before the facility becomes operational at the end of 2028. Upon completion, the new plant will have an annual production capacity of 400,000 tonnes of propylene, significantly enhancing LyondellBasell’s supply capabilities. During the peak construction phase, the project is expected to employ 750 workers and create 25 permanent jobs for the local community, injecting new vitality into the local economy.
LyondellBasell, a leader in the global chemical industry, has always been committed to driving the circular and low-carbon economy through technological innovation and strategic investments. Kim Foley, Executive Vice President of the company, stated that this capacity expansion will markedly improve the company’s ability to meet the growing demands of its customers and strengthen its self-sufficiency in core business lines. The new facility will utilize advanced cracking technology to convert ethylene into propylene, providing robust support for the production of high-quality chemical raw materials such as polypropylene and propylene oxide.
According to the Color Masterbatch Industry Network, these chemical raw materials have a wide range of applications in daily life, including food packaging, medical equipment, automotive parts, and aircraft de-icing fluids. The expansion project is not only set to enhance LyondellBasell’s supply capabilities in the US market but will also contribute to the stability and development of downstream industrial chains, meeting the demand for high-quality chemical raw materials across multiple industries.
Furthermore, the commissioning of the new facility will reduce LyondellBasell’s reliance on market fluctuations and enhance its risk resilience. Amid the growing global demand for sustainable chemical raw materials, LyondellBasell’s investment in expanding propylene production capacity at Channelview demonstrates its keen insight into market needs and its long-term planning for future growth.
Looking ahead, with the full launch of the project in 2028, LyondellBasell is poised to further consolidate its leading position in the global chemical market and make even greater contributions to promoting sustainable development and the low-carbon economy.