DALLAS -- Celanese Chemicals announced it will shut down its 85,000 ton capacity VAM unit in Edmonton, Canada by the first quarter of 2002 as part of an ongoing restructuring process.

On August 31, Celanese announced a global restructuring effort aimed at increasing the company's overall competitiveness. During the process, the company began a feasibility study of operating VAM units at both its Edmonton and Cangrejera, Mexico sites.

"Having reviewed the cost and marketing position of our two facilities, we confirmed that the Cangrejera plant has a significant market advantage in supplying local customers and a logistical advantage in securing raw materials," said John O'Dwyer, vice president and general manager of acetyls, Celanese Chemicals. "While we will no longer produce in West Canada, we have taken steps to assure that our customers in the region continue to receive competitively priced VAM through a simplified logistics process," he said.