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Formosa Plastics Corp. USA plans to invest $332 million at its Baton Rouge facility in an expansion that will increase its capacity to produce PVC. 

Formosa Plastics Corp. USA plans to invest $332 million at its Baton Rouge facility in an expansion that will create 15 new jobs with annual salary of $77,600.

The company already employs 230 workers at the plant. The expansion will support about 500 construction jobs. 

The plant, which has three units manufacturing polyvinyl chloride resin, or PVC, will begin construction in 2020 and wrap up by 2022. Formosa Plastics will produce another 300 million pounds of resin production each year, an increase of 20% in capacity and sales. PVC is a synthetic plastic polymer with a variety of uses in the construction industry, including as insulation on electrical wires, in flooring for buildings needing a sterile environment, and as piping and siding.

The U.S. subsidiary of the Taiwanese plastic maker also plans to add production equipment in two other units inside the facility, which has been in operation since the 1980s. The machinery is for its halogenated acid production unit for internal use in the production of vinyl chloride monomer. 

In exchange for the capital investment, Formosa will get a performance-based grant up to $500,000 from the state and use the state's quality jobs program and Industrial Tax Exemption program as well.

The company had considered its Texas plant for the expansion. 

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“Louisiana is one of only a few areas uniquely qualified with the resources and infrastructure to support our industry, allowing us to diversify our production across our locations, further adding to the reliability of supply for our customers,” said Paul Heurtevant, plant manager of Formosa Plastics in Baton Rouge.

Louisiana Economic Development estimated the project will result in 66 new indirect jobs.

Formosa Plastics is also planning a previously announced $9.4 billion plant in St. James Parish and is working through the permitting process. The company expects to create 1,200 new jobs at the plant and begin operations in 2024. 

State, local governments offer $1.5 billion in tax breaks for $9.4 billion Formosa chemical plant

Formosa's $9.4 billion chemical complex gets key land use backing

For massive new plants, Formosa wants OK to double amount of chemicals released into St. James Parish air

Email Kristen Mosbrucker at