UAE to build one of the world’s largest PVC plants in $1.99b deal

TA’ZIZ on Wednesday announced the award of a $1.99 billion Engineering, Procurement and Construction (EPC) contract to China National Chemical Engineering & Construction Corporation Seven, (CC7), to build the UAE’s first, and among the top three largest integrated single-site polyvinyl chloride (PVC) production complexes in the world.

The contract, announced at ADIPEC, marks a major step forward in delivering TA’ZIZ’s strategic mandate to drive industrial growth, localise supply chains, and enable new value chains in the UAE.

Located within the TA’ZIZ industrial ecosystem in Ruwais, the facility will produce 1.9 million tonnes per annum (mtpa) of marketable PVC, ethylene dichloride (EDC), vinyl chloride monomer (VCM), and caustic soda.

These chemicals are critical to serving growing demand in sectors such as construction, infrastructure, packaging, and healthcare, both in the UAE and internationally. The project is expected to be completed by Q4 of 2028.

Mashal Al-Kindi, CEO of TA’ZIZ, said, “This award marks a key milestone in TA’ZIZ’s journey to build a globally competitive chemicals and transition fuels platform in the UAE.”

“Localising the production of critical chemicals like PVC and caustic soda will strengthen the country’s industrial resilience, generate considerable in-country value, unlock new downstream manufacturing opportunities, and deliver significant long-term value to the nation’s economy.”

This award follows recent EPC contracts for ammonia and methanol production facilities at TA’ZIZ, accelerating the buildout of its Phase 1 4.7 mtpa ecosystem, set to be one of the largest integrated chemical platforms in the GCC.

Once operational, the PVC complex will establish TA’ZIZ as the region’s leading producer of PVC, EDC, VCM, and caustic soda. For context, the plant will produce enough PVC annually to manufacture water pipes for 10 million homes.

The first phase of the TA’ZIZ ecosystem is expected to contribute $50 billion (Dhs83 billion) to the UAE economy and generate 20,000 construction jobs and 6,000 operational roles over the lifetime of the project.

The platform will enable local manufacturers to produce hundreds of new end-products for the first time, supporting the UAE’s industrial growth and Adnoc’s ambition to become a top-three global chemicals player.

Meanwhile in October, 2025 Adnoc Logistics & Services and TA’ZIZ announced a 50-year agreement to establish a dedicated chemicals port at the TA’ZIZ Industrial Chemicals Zone in Al Ruwais.

Adnoc L&S will build, own and operate the port, while TA’ZIZ will leverage the facility to efficiently export chemicals and their derivatives.

Valued at over $300 million, the port is scheduled for completion in Q4 of 2026 and is projected to generate more than $1.3 billion in revenue for Adnoc L&S over the first 27 years.

TA’ZIZ is developing the UAE’s first integrated chemicals ecosystem and, by the end of 2028, will be producing 4.7 million tonnes per annum of chemicals, including methanol, low-carbon ammonia, caustic soda, ethylene dichloride (EDC), vinyl chloride monomer (VCM) and polyvinyl chloride (PVC).

WAM