This page is part of our public exclusion list — a transparency tool that shows which companies we screen out and why. It is not investment advice, and it is not an accusation. But it is subject to change as our understanding of the facts evolves.
Formosa Plastics Corporation is a major producer of PVC and other petrochemicals, with operations in Taiwan, the United States, Vietnam, and China. In Texas, its Point Comfort facility has been a persistent source of plastic pellet ("nurdle") discharge into Lavaca Bay and Cox Creek. A 2019 Clean Water Act lawsuit resulted in a $50 million settlement — one of the largest ever under the citizen suit provision.
Its complex in Baton Rouge, Louisiana, is listed as a federal Superfund site due to soil and groundwater contamination. In 2016, the EPA fined Formosa Plastics $2.8 million for Clean Air Act violations at its Illiopolis, Illinois facility. The Texas Commission on Environmental Quality has repeatedly cited the Point Comfort plant for air emissions violations.
In Vietnam, the company's subsidiary Formosa Ha Tinh Steel caused a 2016 marine disaster that released toxic chemicals, killing an estimated 115 tons of fish and devastating the local fishing industry along 125 miles of coastline. The incident triggered mass protests and resulted in a $500 million settlement for affected communities.
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A digest of changes to our exclusion list — new additions, removals, and the evidence behind them. We review the list continuously as new evidence surfaces.
Companies appear on our exclusion list based on our investment judgment — not because they've done anything illegal. This is a difference of values and opinion, not an accusation of wrongdoing. Exclusion does not constitute a recommendation against investing in any company, and absence from the list does not constitute a recommendation to invest.
This information is provided for educational and transparency purposes only and should not be relied upon as investment advice. Data is drawn from independent watchdogs, NGOs, government registries, and Ethical Capital's ongoing research — see Research Sources for the full list.
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