Caustic soda: Production
China's capacity race and India's quiet build-out
China's capacity race and India's quiet build-out What this tab covers Who makes it and how much: world capacity and output, utilisation, the top producing countries and companies globally and in India, concentration, new capacity coming, and each region's position.| Measure | Figure | Detail | Source |
|---|---|---|---|
| World capacity | about 105-110 Mt a year (2025, indicative); China 50.38 Mt at end-2025 | Mysteel Nov 2025; world total derived (indicative, basis: China about 46% of capacity) | |
| World output | about 90 Mt (2025, indicative); China 42.62 Mt; India 5.05 Mt (FY2024-25) | Mysteel Nov 2025; Alchempro 2025 | |
| Capacity utilisation | about 80-85% | China averaged about 85% in 2025 and 83% in late September 2025; India about 79% in FY2024-25; Europe 66-74% in 2024 (chlorine basis). | Mysteel Nov 2025; Argus Oct 2025; Alchempro 2025; Euro Chlor 2024 |
| Concentration | China 47%; top-3 countries about 71% | Outside China, OxyChem (3.08 Mt), Westlake (3.41 Mt), Olin, Formosa and Shin-Etsu lead. | derived; Argus Oct 2025; Westlake 10-K FY2025 |
| New capacity | India about 1.55 Mt by 2027; China 900,000 dmt started in 2025; US OxyChem 940,000 ECU (2027); Europe minus 849,000 dmt by 2028 | Indian projects: Lords Chloro Alwar 0.74 Mt, Shriram Alkali Bharuch 0.23 Mt, Kutch Chemical Gandhidham 0.22 Mt; TA'ZIZ UAE complex 4Q2028; Al Gaith Oman 2Q2027. | GlobalData 2023; Argus Chlor-Alkali Outlook Nov 2025 |
Top producing countries
China 47% · 42.62 Mt (2025) United States 14% · about 12.5 Mt (indicative) Europe (EU-27, Norway, Switzerland, UK) 10% · about 9.0 Mt (2024) India 6% · 5.05 Mt (FY2024-25) Japan 4% · about 3.7 Mt (indicative) Mysteel Nov 2025; indicative (basis: chlorine about 11 Mt x 1.13); derived from Euro Chlor chlorine output of about 8.0 Mt (7.37 Mt Jan-Nov 2024) x 1.128; Alchempro 2025; indicative (basis: Japan Soda Industry Association)Largest producers: global
| Company | Country | Volume | Year | Source |
|---|---|---|---|---|
| Olin describes itself as the largest chlor-alkali producer; figure not checked | US | not published | 2025 | Olin 10-K |
| Westlake | US | 3.41 Mt caustic capacity (7,510 million lb) | Feb 2026 | Westlake 10-K FY2025 |
| OxyChem (Berkshire Hathaway) Houston 940,000 ECU membrane plant due about Jan 2027 | US | 3.08 Mt caustic capacity (dmt) | 2025 | Argus Chlor-Alkali and Derivatives, 3 Oct 2025 |
| Formosa Plastics Group not published here | Taiwan/US | not published | 2025 | Westlake 10-K competitor list |
| Shin-Etsu (Shintech) not published here | Japan/US | not published | 2025 | Westlake 10-K competitor list |
| INEOS Inovyn largest European producer | UK/Europe | not published | 2025 | Argus Nov 2025 |
Largest producers: India
| Company | Country | Volume | Year | Source |
|---|---|---|---|---|
| Grasim Industries (Aditya Birla Chemicals) largest Indian producer; about 1.4 Mt (indicative) | India | not published | FY2025 | company reports |
| DCM Shriram Bharuch 2,225 TPD plus Kota 550 TPD, then 850 TPD expansion | India | 1 Mt caustic capacity | 2024 | Indian Chemical News, June 2024 |
| Gujarat Alkalies and Chemicals Vadodara and Dahej, plus GACL-NALCO JV | India | not published | 2025 | not published here |
| Lords Chloro Alkali planned figure as reported | India | 0.74 Mt planned addition (Alwar) | 2023 (planned) | GlobalData 2023 |
| Tamilnadu Petroproducts 250 TPD x 365 = about 0.09 Mt | India | 0.09 Mt caustic capacity (expanding 150 to 250 TPD) | FY2025 | TPL Directors' Report FY2024-25 |
India's capacity rose from 4.4 Mt (FY2019) to 6.40 Mt (FY2024-25); output was 5.05 Mt. Imports are negligible and fell 33% in FY2025 while exports rose 25%. India is now a small net exporter, but Asian producers aim to win share in India (Argus Nov 2025).
Position by region
| Region | Position |
|---|---|
| US | Largest exporter; 2026 forecast as a record export year, with Latin America and Brazil absorbing more. Dow's Freeport PO closure cuts domestic demand by about 500,000 dmt in 2026. |
| EU | Importer at the margin; possible anti-dumping duties on US caustic (Argus Nov 2025). NW Europe contract about EUR 580-720/dmt in Q3 2025. |
| India | Self-sufficient with 6.4 Mt capacity; domestic price Rs 35,000-36,000/dmt (about $399) in Oct 2025, close to import parity. |
| China | 47% of output; alumina in Shanxi and Guangxi is a major outlet; exports solid flake. |
| Japan | Steady exporter in NE Asia (indicative). |
| Middle East | Growing exporter; regional demand rising will shrink exports outside the region (Argus). |