Cabot announces carbon black plant closures

European Rubber Journal reports today that Cabot plans to shut down its carbon black plant in Campana, Argentina and cease production on several lines at its carbon black plant in Botlek, Netherlands. Both plants produce both rubber blacks and specialty blacks. The moves, which were announced during the company's earnings call on May 6, are part of a strategic review following a sharp drop in earnings in the company's Reinforcement Materials business in Q2 FY26, which ended March 31. Cabot attributed the drop to lower gross profit per ton driven by CY26 customer agreement outcomes and increased competitive intensity in Asia Pacific. In contrast to the decline in Reinforcement Materials segment earnings, volumes were up 3% year-over-year with increases in all regions. Cabot announced it has ceased manufacturing at the Argentina plant and plans to permanently close the facility. In the Netherlands, the plan to close multiple manufacturing lines is subject to consultation with the local works council. The two projects together would remove about 120,000 tons of capacity. The company said it plans to consolidate capacity across its global network, with no loss to customers. The expected restructuring cost is $24 million, while the targeted savings will total $22 million annually once fully implemented.