Sarawak Petchem has quietly taken its Tanjung Kidurong methanol complex offline, a move that is already stirring speculation in Asia’s chemical markets.
Market sources told that operations were halted in mid-September after a technical issue forced an unplanned shutdown. The exact nature of the problem has not been disclosed, and the company has yet to issue an official statement, leaving traders unsure how long production will remain suspended.
The Tanjung Kidurong facility, with a capacity of 1.75 million metric tons per year, ranks among Southeast Asia’s largest methanol plants and supplies feedstock for everything from formaldehyde to fuel additives. Even a brief outage could tighten regional availability and nudge spot prices higher, especially as downstream demand begins to pick up with the year-end manufacturing cycle.
Industry watchers say buyers are monitoring the situation closely, waiting for a clear timeline from Sarawak Petchem. Until the company confirms when the plant will restart, the market is left to weigh the impact of a key Malaysian producer temporarily stepping out of the supply chain.
