Chemicals and plastics producer Lanxess (Leverkusen / Germany; www.lanxess.com) has slashed operating rates of its plants by 25-80% to deal with a decline in demand of up to 50% for some products, CEO Axel Heitmann has told a German newspaper. Talks with employees about short-time working in “some areas” are in progress. To save costs, plans to relocate headquarters to Cologne have been delayed until 2012. At the same time, the CEO confirmed that, “from the current perspective,” the company’s earnings targets for 2008 were met – see Plasteurope.com of 17.11.2008.

A spokesman declined to comment to Plasteurope.com on operating rates for the company’s semi-crystalline polymer (PA and PBT) products. The polyamide sector in particular has been hard hit by collapsing demand from the automotive industry. Lanxess is a significant supplier of PA 6 and 6.6 (“Durethan”) as well as PBT (“Pocan”) and also produces the PA feedstock caprolactam, in major part for captive use. In September 2008, it announced plans to spend EUR 35m on expanding caprolactam at Antwerp / Belgium by 10% up to 2010 – see Plasteurope.com of 18.09.2008.