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FCFC Forecasts September Revenue Growth Driven by SM Production and Market Recovery

Process Industries · Chemicals: Major Diversified · economic_daily · 2026-09-08

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Formosa Chemicals & Fibre Corp (FCFC) expects improved September results as SM production resumes and seasonal demand for plastics picks up.

What Happened

Operational Outlook: FCFC anticipates a revenue rebound in September, supported by oil price strength amid Middle East tensions. While the third quarter was impacted by seasonal weakness, the company expects higher oil prices to bolster investment income via the equity method.

Product Strategy: In aromatics, FCFC has adjusted its processes to maintain high benzene output. Regarding PTA, the company is maintaining a breakeven strategy and remains optimistic that a recovery in downstream operating rates will benefit its Ningbo operations.

SM Production Impact: The restart of the SM-2 production line in mid-August has significantly boosted output and sales volume. By capturing additional market share and expanding into Korea, India, and Europe, the company expects SM to be a key revenue driver.

Plastics Demand: With the off-season ending, demand for home appliances and holiday-related plastics is recovering. FCFC plans to optimize its cross-strait production and leverage its international sales network to strengthen its global market position.

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