Geon Reformulates for the Future

Faced with a market for polyvinyl chloride (PVC) that has been made difficult by overcapacity and a decline in Asian demand, Geon (Avon Lake, Ohio, USA) got out of the business. It moved the notoriously cyclical and highly competitive general purpose PVC business into a safer position downstream. In June 1998, the company announced its intention to combine its vinyl-related business with that of chlor-alkali giant OxyChem. The deal is expected to close at the end of 1998, and Geon will own 24% and OxyChem 76%. Geon decided to move its business into higher-value compounding, specialty resins, and what it calls performance polymers.