INEOS has announced a $288 million (€250m) investment program to regenerate and modernize its cracker at Lavera as part of a bold move to secure the future of one of France’s most important industrial sites and safeguard thousands of jobs.
With backing from the French Government, and facilitated by BNP Paribas and ING, INEOS is investing in the site to improve reliability, boost efficiency and cut emissions. It marks the first phase of a wider regeneration plan designed to strengthen Lavera’s long-term competitiveness and sustainability.
Sir Jim Ratcliffe, INEOS Founder and Chairman, said: “France is showing real industrial leadership. The government understands that without a strong manufacturing base, Europe will falter. INEOS is investing in Lavera because we believe in the site, its people and its future but Europe must wake up. High energy prices, over-regulation and punitive carbon costs are destroying its industrial backbone. If politicians want jobs, investment and energy security, they must create the conditions for industry to compete. It is as simple as that!”
Sébastien Martin, Minister Delegate for Industry, said: "With this €250 million investment, INEOS reaffirms its confidence in France’s industrial sector. Thanks to the support of the State, Lavera becomes the symbol of a nation that chooses to produce, innovate, and invest on its own soil. This is how we strengthen our independence, our competitiveness, and our jobs."
The Lavera site employs around 2,000 people directly and more than 10,000 through its supply chain. It produces essential raw materials used across almost every manufacturing sector from healthcare and pharmaceuticals to aerospace, transport, food packaging, clean energy and advanced technologies.
Rob Ingram, CEO of INEOS Olefins & Polymers Europe, said: “This is a vital investment to support continued operations at Lavera, a vital part of the French and European economy. It is about safeguarding jobs, improving performance, cutting emissions. It’s a strong signal of INEOS’ commitment to France, and to keeping essential production in Europe.”
The European chemicals and polymers sector continues to face severe pressure from high energy prices which are three to four times that of China and the USA, and from carbon costs that are only paid in Europe. Multiple plants have already closed across the continent. INEOS warns that unless Europe restores competitiveness, industrial decline will accelerate.
Future phases of the Lavera regeneration programme will deliver further efficiency gains and major CO₂ reductions but will require further support from the French State to bring these plans to fruition.
The Lavera regeneration programme is a vote of confidence in France and European manufacturing – proof that with the right support, industry can thrive, decarbonise, and deliver the jobs and products Europe depends on.
About INEOS Olefins & Polymers Europe
INEOS Olefins & Polymers Europe has the capacity to manufacture over 8.5 million tons of chemicals and polymers at eight sites. These are used to produce a wide range of derivative products that both enable and enhance many aspects of life today. From a broad technology base, the business can produce polymers specifically tailored to provide high value solutions to customers in its chosen market sectors. In April 2024, INEOS completed the acquisition of TotalEnergies' 50% share of Naphtachimie (steam cracker), Appryl (polypropylene business), Gexaro (aromatics business) and 3TC (naphtha storage) in Lavera, France. The businesses had been joint ventures between the two companies. A number of other infrastructure assets were also acquired including part of TotalEnergies’ ethylene pipeline network in France. For more information, visit www.ineos.com.
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