ExxonMobil to close Scottish chemicals plant, 200 jobs at risk

ExxonMobil has announced plans to close its Fife Ethylene Plant in Scotland, putting 200 jobs at risk and affecting a further 250 contractors.

The company cited “difficult market conditions and a policy environment in the UK, which it claims is ‘accelerating the exit of vital industries’,” Caliber.Az reports per foreign media.

The plant, located near Cowdenbeath in Fife, has been a major local employer for 40 years. ExxonMobil said it had explored various options to continue production and attempted to find a buyer, but these efforts were unsuccessful.

“We plan to shut down our Fife Ethylene Plant in February 2026, subject to a full employee consultation,” the company said in a statement.

“We considered various options to continue production and tested the market for a potential buyer, but the UK’s current economic and policy environment, combined with market conditions, high supply costs and plant efficiency, does not create a competitive future for the site.”

Melanie Ward, MP for Cowdenbeath and Kirkcaldy, described the closure as “devastating”, adding that workers had been told they would lose their jobs without clarity on redundancy packages.

Scotland’s Deputy First Minister, Kate Forbes, expressed disappointment with ExxonMobil’s “commercial” decision. She said the Scottish government would establish a task force to assess how it could mitigate the impact, while noting that Holyrood had “limited economic powers.”

“UK ministers must consider what more they can do for the workers at the plant and take urgent action to address the high cost of energy,” Forbes added.

The UK government said it had explored “every reasonable avenue” to support the site but acknowledged that Exxon faces “significant global challenges.”

The closure underscores difficulties facing the UK petrochemical industry, which is contending with cheap imports from China and other countries, as well as job losses in the North Sea oil and gas sector, exacerbated by windfall taxes on producers.

Exxon previously approached the UK government for support to improve the plant’s viability. A source familiar with the discussions said talks were constructive but ultimately unsuccessful.

By Aghakazim Guliyev