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French tire producer Michelin and Indonesian petrochemical maker Chandra Asri are joining to build a synthetic rubber plant in Indonesia by 2017. The venture, owned 55% by Michelin and 45% by Chandra Asri, will invest $435 million in the facility. The plant will use as feedstock butadiene produced by Petrokimia Butadiene Indonesia, a subsidiary of Chandra Asri. Still under construction in Cilegon, Petrokimia’s butadiene unit is expected to open this summer.
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