DuPont to close Louisville plant despite severe Neoprene shortages

By Liz White, ERJ staff

Louisville, Kentucky-DuPont Performance Elastomers has reaffirmed to the United Steelworkers International Union (USW) that it will definitely close its Louisville, Kentucky Neoprene manufacturing plant in December 2006, according to a statement issued by the USW.

Neoprene-DPE's brand name for polychloroprene-is used in the automotive and construction industries.

USW said that its officials had hoped that DPE would recognise the value of continuing the already profitable supply of Neoprene "at a time when rubber manufacturers and custom mixers throughout New England were pleading with companies such as DPE to increase production so that they could stay in business."

"Especially considering DPE's focus on the bottom line, we thought that the severe shortage of neoprene, exacerbated by Hurricanes Katrina and Rita's adverse effect on the company's expansion plans at its Pontchartrain, Louisiana facility would convince the company that they need to keep our plant open in order to be the 'long term sustainable supplier' that they have publicly stated that they intend to be," said USW Local 5-2002 president Carl Goodman, in the union statement.

Representatives of New England's rubber manufacturers have said that the severe shortage of neoprene may force the closure of plants across the region, putting thousands out of jobs.

The shortage was exacerbated by the decision of Italian supplier Polimeri Europa to close its plant in Champagnier, France from 30 Sept, said the USW. Also a factor is the International Trade Commission's 2006 decision to hit Japanese manufacturers who ship neoprene to the US with a 55% tariff, a move which cuts the amount of polychloroprene available to rubber manufacturers and mixers.