Kraton Implements Production Changes at Berre Facility for Future Growth

Kraton's Strategic Shift in Berre, France

Overview

Kraton Corporation, a prominent global leader in specialty polymers, has announced a significant strategic initiative aimed at streamlining its polymer manufacturing operations in Berre, France. This move reflects the company's commitment to optimizing its production processes in response to shifting market dynamics and aims to enhance Kraton's position as a leading producer in the sector.

Details of the Plan

On October 23, 2025, the company initiated an information and consultation period with the relevant Works Councils in Berre. The primary focus of this restructuring is to cease the production of HSBC products at the site and transition the facility exclusively towards the manufacture of USBC products. The final decision regarding this restructuring is anticipated after the conclusion of the mandatory consultation process.

Kraton's President of Polymers, Prakash Kolluri, emphasized the necessity of this transition, stating that it would not only enhance the company's competitive position but also help address the global overcapacity issues associated with HSBC production capabilities. He noted that the planned changes align with Kraton's strategy for a sustainable future, ensuring the company's leading status in the global HSBC market.

Support for Employees

As part of this transition, Kraton recognizes the potential impact on its workforce and is committed to ensuring a safe and respectful process for all employees involved. The health, safety, and overall well-being of the staff remain top priorities throughout this restructuring phase.

Kraton aims to facilitate a supportive transition and mitigate the effects of these operational changes on its employees. This dedication underlines the company's responsibility towards its workforce during a crucial and potentially challenging adjustment period.

Global Operations and Impact

Kraton operates on a global scale, with multiple facilities and diverse product offerings. The company’s intent to streamline its operations in Berre illustrates a broader commitment to innovation and responsiveness in an evolving market landscape. By focusing on USBC products at the Berre facility, Kraton seeks to leverage its robust global manufacturing network to adapt swiftly to market demands and new customer needs.

Kraton has a diverse product portfolio that includes specialty polymers applied across various industries including adhesives, coatings, consumer products, automotive, and more. The strategic focus on USBC products is viewed as a pivotal move that could ultimately enhance Kraton’s innovations and offerings in the polymer market.

Conclusion

Kraton Corporation’s decision to revamp its operations in Berre not only signifies its adaptive response to global market shifts but also reflects its commitment to long-term sustainability and growth. As this initiative unfolds, it will be vital for Kraton to manage the transition effectively and maintain its reputation as a leader in the specialty polymers industry. For further updates and information on Kraton's offerings, interested parties can visit the company’s official website at Kraton.