Archer Daniels Midland plans to close its Illinois soy protein plant as part of its efforts to streamline its global production network. The company expects to cease operations at the Bushnell plant and make adjustments to its production capacity. ADM aims to improve efficiency and reduce costs in its soy protein business. The plant closure is expected to have a negative impact on the company's trading in the short term.
Archer Daniels Midland (ADM) has announced plans to cease operations at its soy protein plant in Bushnell, Illinois, as part of broader efforts to streamline its global production network. The company aims to enhance efficiency and reduce costs in its soy protein business. The Bushnell plant will be shut down, with operations expected to gradually wind down over time, as ADM focuses on its recently recommissioned Decatur East plant and other facilities worldwide.
ADM's strategic move is part of a broader focus on optimizing its portfolio and simplifying its operations. The company expects that consolidating its soy protein operations into a more efficient global network will support growing global demand while improving operating profit over time. The Decatur plant, which resumed operations, is anticipated to play a significant role in this restructuring.
Ian Pinner, president of ADM’s Nutrition business, stated, "Across ADM, we continue to advance our portfolio optimization initiatives and operational excellence agenda. Optimizing our soy protein production network is an example of how we’re strengthening our asset platform, combining capital discipline with smart organic innovation and operational improvements to increase cash flows and returns. These decisive actions will help ensure we can continue delivering industry-leading innovative products to our customers while sharpening our competitive advantage."
ADM has been cutting jobs and downsizing certain operations since announcing in February that it planned to reduce costs by $500 million to $700 million over three to five years. The company also permanently closed a South Carolina soybean processing plant in April to cut costs.
The plant closure at Bushnell is expected to have a negative impact on ADM's trading in the short term. However, ADM is committed to a smooth transition, ensuring any affected customers are served from its other invested assets. The company is prioritizing treating any affected colleagues with respect as it advances this process.
ADM's efforts to streamline its operations come amid ongoing uncertainty in the biofuel sector and global commodity prices. The company's strategic focus on bio-based innovation, as seen in its partnership with OCOchem to develop carbon-negative formate production, underscores its commitment to long-term value creation. However, the success of these initiatives remains subject to various risks and uncertainties, including uncertain biofuel policies and shifting regulatory frameworks.
References:
[1] https://www.stocktitan.net/news/ADM/adm-announces-streamlining-of-soy-protein-production-9sa5tfq0qygh.html
[2] https://www.tradingview.com/news/reuters.com,2025:newsml_L4N3UL11T:0-archer-daniels-midland-to-cease-operations-at-bushnell-plant/
[3] https://finance.yahoo.com/news/could-adm-adm-carbon-negative-100707673.html
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