Major Blow for Scottish Manufacturing as ExxonMobil Confirms Plant Closure
Global energy titan ExxonMobil has declared it will permanently shut down its Fife Ethylene Plant at Mossmorran. The company confirmed the manufacturing site is expected to cease operations in February 2026, following a full consultation with employees. This decision deals another severe blow to Scotland's industrial landscape, coming shortly after the closure of the Grangemouth oil refinery.
Economic and Policy Pressures Force Shutdown
In an official statement, ExxonMobil explained that it had explored various avenues to maintain production, including testing the market for a potential buyer. However, the firm concluded that the UK's current economic and policy environment, combined with challenging market conditions, high supply costs, and plant efficiency issues, made the site's future uncompetitive.
The plant, which has been a cornerstone of UK chemical production for 40 years, produces ethylene, the base material for plastics. Its impending closure highlights the growing challenges facing vital domestic industries and the high-value employment they provide.
Significant Job Losses and Political Fallout
The shutdown puts approximately 200 direct jobs at risk, along with the livelihoods of more than 250 contractors working on the site, as first reported by the Financial Times. The announcement was met with sharp criticism from Scottish politicians.
Scotland’s Deputy First Minister, Kate Forbes, expressed being “extremely disappointed” by what she described as a “sudden” commercial decision from ExxonMobil. She highlighted the “very significant blow to Scotland’s economy” and revealed that the Scottish Government will establish a taskforce to support the affected workers.
Ms Forbes also shifted focus towards Westminster, stating that the majority of powers to address such issues reside with the UK Government. She urged UK ministers to take urgent action to tackle the high cost of energy, which she said is “slowly crippling industry.” A senior UK Government source, speaking to the Courier, indicated that ExxonMobil had not been forthcoming about its plans and that the company had been asked if policy changes could secure the site's future, but no suggestions were made.
ExxonMobil stated that its immediate priorities are to support its workforce through the challenging period and to ensure continued safe operations until production ends.
