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Covestro has dropped plans to close its 170,000-metric-ton-per-year methylene diphenyl diisocyanate (MDI) facility in Tarragona, Spain, by year-end. The company cites a hike in demand for the material, used to make rigid polyurethane foam. Covestro has signed a new contract with the Spanish firm Ercros for the chlorine it uses to produce MDI. Ercros says it will be able to meet Covestro’s requirements even though it is cutting chlorine capacity by 44% because of legislation requiring it to cease production based on mercury-cell technology by Dec. 11, 2017.
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