Skip to main content

Search

'Icebreaker' settlement in price-fixing lawsuit

tschuetz

The U.S. subsidiary of Formosa Plastics Corp (1301.TW) has agreed to pay $7.5 million and to cooperate with plaintiffs to settle an antitrust lawsuit alleging the company and others curbed the supply of a widely used chemical in a scheme to inflate prices. (Scarcella, August 16, 2023)

Macroeconomy policy vs bioregionalism

tschuetz

“When the government of Taiwan planned for the future of Taiwan several decades ago, it focused exclusively on industrially stimulating the economy. It has been promoting that kind of economic growth and development since the 1970s, making it appear as if industrial growth is the only factor to consider with regard to the country’s future. In the name of progress and economic revitalization, state-led industrialization walks hand in hand with private corporations. Together, they compete for the world’s largest petrochemical plants. The industrial development policy of Taiwan is one of the factors in the loss of Taiwan’s coastal wetlands, the subsiding of land from industrial water withdrawal and sand mining, and the increase of toxic air emissions, contaminated water, and toxic buildup of metals in soils (Wu and Wu 171–2). This “macroeconomy” policy ruins bioregions.” (Chang, 2023, p. 171)” 

About the Formosa Plastics Corporation

tschuetz

The Taiwanese Formosa Plastics Corporation (FPC) is the tenth largest petrochemical company in the world. Focused primarily on the production of polyvinyl chloride (PCV) resins (Wu 2022), the FPC is the main subsidiary of the larger Formosa Plastics Group (FPG), a vertically integrated, global conglomerate that owns businesses in biotechnology, electronics, and logistics, among others (Wikipedia 2020). Formosa’s four main subsidiaries (all petrochemical companies) account for an estimated 10 percent of Taiwan’s gross domestic product (Wu 2022). The most important sites for production are Formosa plants in Yunlin County (Central Taiwan), Point Comfort (Texas), and Baton Rouge (Louisiana). Enabled by the shale gas boom discussed above, plants at all three sites are subject to ongoing expansions, including a proposed $200 million plant in Texas, and the $12 billion industrial complex in Louisiana. Formosa also operates a steel plant in Central Vietnam that is the focal point of much local and transnational activism.

Formosa’s current economic and cultural standing is deeply connected to Taiwan's history of industrialization. The Formosa Plastics Corporation and Group were founded by Wang Yung-ching and his brother Wang Yung-Tsai in Kaohsiung in 1954. Born under Japanese occupation, Wang Yung-ching made a living selling and delivering rice as a young boy, and later operated his own rice shop as a teenager. Eventually, Wang transitioned into the lumber business and benefited from market liberalization following the end of Japanese colonial rule (Lin 2016). However, since US military forces destroyed one of his mills during WWII, Wang received $800,000 from USAID, which he used as capital to found Formosa Plastics (Shah 2012). Until his death in 2008, Wang became one of Taiwan’s richest persons and remains widely known as the “god of management” (Huang 2008).

In Taiwan, conglomerates like the Formosa Plastics Group are called guanxiqiye (“related enterprises''), a colloquial term for tightly-controlled, family-owned businesses. According to anthropologist Ichiro Numazaki (1993), the expression emerged from 1970s business discourse and quickly became a self-identifying status symbol for many corporations (Numazaki 1993, 485). Numazaki argues that Chinese trading tradition (emphasizing partnerships) and Taiwan’s vexed relationship to Japan and China contributed to the rise of family-owned enterprises. Daughter Cher Wang has co-founded important businesses outside of the petrochemical sector, including consumer electronics company HTC. However, the Formosa family has also experienced a series of conflicts: in 1996, Wang Yung-Ching expelled his son Winston for extramarital affairs, who later became involved in ongoing efforts to disclose his father’s substantial tax evasion (Offshore Alert 2018). Today, the Formosa Group is in the process of transitioning key positions away from family members (Taipei Times 2021).

Formosa’s operations have further been shaped by Taiwanese politics and cross-strait relations with China. Considered a moderate liberalizer, Wang held close ties to Taiwan’s democratic party, but also continued to push for expansion in the Chinese mainland during his lifetime, often leading to conflicts between Taiwanese and Chinese administrations (Lin 2016, 81). In 1973, Wang’s plans to build a large petrochemical complex in Taiwan were halted by the authoritarian Kuomintang (KMT) government, but following the lifting of martial law in the mid-1980s, Formosa made a second attempt, suggesting to build the complex in the scenic Yilan County (Ho 2014). Rising concerns over petrochemical development and pollution, however, led to mass protests by local residents and fisher people, creating a landmark moment for Taiwan's larger democracy movement (Ho 2014). In face of this opposition, Wang arranged secret trips to mainland China, and later announced that the plant would be built on the island of Haitsang in Xiamen province. Yet, economic sanctions between China and Taiwan, combined with pressure by the nationalist KMT government, eventually led to construction of the vast petrochemical complex in the rural and impoverished Yunlin County in Central Taiwan (Lin 2016, 82).

Historical and Spatial Analytics for widening the "scope" of hazards

danapowell
In response to

The Sampson County landfill can be smelled before seen. This olfactory indicator points toward the sensory scale of these pungent emissions but also toward the geographic scope: this landfill receives waste from as far away as Orange County (the state's most expensive property/tax base), among dozens of other distant counties, making this "hazardous site" a lesson in realizing impact beyond the immediate locale. So when we answer the question, "What is this hazard?" we must think not only about the landfill as a thing in itself but as a set of economic and political relations of capital and the transit of other peoples' trash, into this lower-income, rural, predominantly African-American neighborhood. In this way, 'thinking with a landfill' (like this one in Sampson County) enables us to analyze wider sets of relationships, NIMBY-ist policymaking, consumerism, waste management, and the racialized spatial politics that enable Sampson County to be the recipient of trash from all over the state. At the same time we think spatially and in transit, we can think historically to (a) inquire about the DEQ policies that enable this kind of waste management system; and (b) the emergent "solutions" in the green energy sector that propose to capture the landfill's methane in order to render the stench productive for the future -- that is, to enable more consumption, by turning garbage into gas. As such, the idea of "hazard" can expand beyond the site itself - impactful and affective as that site might be - to examine the uneven relations of exchange and capitalist-driven values of productivity that further entrench infrastructures such as these. [This offers a conceptual corrollary to thinking, as well, about the entrenchment of CAFOs for "green" biogas development, as we address elsewhere in the platform].

Landfill mixed media

GraceKatona

Danielle Koonce in an Opinion piece in the Fayetteville Observer, states...

"And it’s not just household garbage coming in — chemical waste and coal ash has also been disposed of in the Sampson County landfill."

"We listened to community members share how they can no longer garden or enjoy the outdoors due to the thick odor and fumes from the landfill."

"We learned that the landfill receives trash from around the state, from as far away as New York City, and even trash that comes in on ship-barges through Wilmington."

While Bryan Wuester, manager for the Sampson County Landfill states in the Sampson Independent...

"The Sampson landfill accepts waste from North Carolina only, about 5,450 tons from 16 different counties a day."

"The landfill accepts three kinds of waste: construction and demolition materials, solid waste and special waste, which are byproducts of industry. No coal ash comes into the Sampson facility..."

These are two different stories of the landfill coming from two different stakeholders, one in which needs the landfill to be in operation for a job and the other a concerned citizen worried about the disproportional impacts her community faces. While Danielle Koonce listens to the realities of the community members located around the landfill who express concern and worry, the landfill manager denies these realities and insists they are not true. This is not only invaliding to the community members who are fighting to get their voices heard but further embeds environmental injustice into the community.