Dutch chemicals group DSM NV has suspended production at its Evergreen Nylon Recycling plant in Augusta, Georgia because of higher than expected costs and weak market conditions.

Evergreen, a joint venture between DSM and Honeywell International, is the world's largest commercial nylon recycling facility, but has been operating at only 60% of its 45,000 ton annual capacity.

DSM said it and Honeywell had determined that further capital investment would be required to improve costs and make the plant more competitive. Evergreen would evaluate the situation and make plans to restart the facility, DSM said, although it expected to lay off about 90 employees over the next several months.

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