history
fcfc’s investments under the no. 6 cracking project included plants in mailiao and haifeng major for the production of aroma and its downstream petrochemical materials. during the plant construction stage, there are three expansion units running for different projects. 1st petrochemical section oversaw by 2nd chemical division responded for the construction of aroma plant 1, aroma plant 2 and sm plant; 2nd petrochemical section, directly reported to president’s office in charge of the construction of dmf, pp and phenol plants; the 3rd chemical division was responsible for the construction of pta plant. the phase 1 of no. 6 cracking project was on schedule and completed by the end of 1998. from january 1, 1999, a new plastics division was set up to take over the production and sales of abs and ps from the 2nd chemical division, meanwhile the 2nd chemical division changed its name to “petrochemicals division” kept running for the expansion of aroma plant 1, aroma plant 2 and sm plant.
as the constructions went by, the original expansion units under the no. 6 cracking project reorganized after july 1, 1999.each plant was assigned to the most related business division. according to this, petrochemicals division was assigned to respond for the production and sales of aroma, sm, phenol and acetone, also the operations and management of aroma pant 1, aroma plant 2, sm plant and phenol plant.
the aroma plant 1 and sm plant at mailiao were brought on-stream at the end of 1998 and began to supply petrochemical intermediates to the affiliated businesses. the sm plant certificated by lloyds iso-9002 in july 1999 and its second-phase expansion is now completed and in operation; the aroma plant 2 and phenol plant at haifeng have been in services since july 2000. all products under the division have iso-9002 certificate.
since june 2006, 1st petrochemical division was separated from petrochemicals division to handle aromatic business and production. the 2nd petrochemical division maintained to handle styrene and phenol.
we are making effort on various key elements of operation in order to approach streamlining and rationalization of management. we also focus on environmental protection, work safety, cost reduction, quality and performance enhancement. we work closely with upstream and downstream operations under the no. 6 cracking project and collaborate with other companies creating a bright future for our petrochemical industry.
major businesses
the major businesses of 2nd petrochemical division are manufacture and sales of sm, phenol and acetone. our products mainly supply for downstream operations within the formosa plastics group (fpg) to lower import reliability and improve price stability. fpg has a vertical integrated supply and sales system where products transported to downstream via our own pipelines, which is safe, cost-effective, and renders our operations much more competitive. we still face feedstock shortage for our whole group operation. thus our short-term strategy is to boost output and reduce costs to help downstream products becoming more competitive in the domestic market and having much more market share.
we anticipate strong demands for our major products in the asian markets. situated at the center of asian markets and closed to mainland china market where the biggest demand growth, taiwan has a great position than other countries to understand the markets. thus our mid- and long-term strategy is to target the demand growth in asian markets by undertaking process debottleneck or capacity expansion to become a steady supplier for downstream operators in the region and work with them to make their products more competitive. for major target markets, in particular the mainland china market, we plan to set up distribution center or seek strategic alliance to connect with customer with a great and strong win-win relationship.
