Saudi Arabia based Saudi Kayan Petrochemical Company and Yanbu National Petrochemical Company is planning to increase from 2016 onwards. Saudi Kayan expects its cost to rise by 8.5%, while Yansab anticipates its cost to increase 6.5%. Both companies expect their profitability to be impacted starting from the first quarter of 2016.
Both companies said that they were working to reduce the impact from higher costs, by increasing plant efficiency and reliability as well as by reducing other costs.
Saudi Kayan and Yansab are two of the many manufacturing plants managed by Saudi Basic Industries Corporation (Sabic). Yanbu-based Yansab started up in 2009, while Jubail-based Saudi Kayan came onstream in 2010.
