Westlake Corporation (WLK): Business Model Canvas [Jan-2025 Mise à jour]

Plongez dans le monde complexe de Westlake Corporation (WLK), une centrale chimique qui transforme les matières premières en solutions innovantes dans plusieurs industries. Avec un modèle commercial stratégique qui mélange de manière transparente la fabrication avancée, la chimie durable et la pénétration mondiale du marché, WLK est un exemple remarquable d'excellence industrielle. Des composants automobiles aux solutions d'emballage, leur approche complète de la production chimique révèle un écosystème complexe de partenariats, l'innovation technologique et la création de valeur stratégique qui motive les progrès industriels modernes.

Westlake Corporation (WLK) - Modèle d'entreprise: partenariats clés

Alliances stratégiques avec les fabricants de pétrochimie

Westlake Corporation entretient des partenariats stratégiques avec les principaux fabricants de pétrochimie suivants:

Entreprise partenaire	Focus de partenariat	Valeur de collaboration annuelle
Industries de Lyondellbasell	Production de polyéthylène	475 millions de dollars
ExxonMobil Chemical	Chaîne d'approvisionnement à l'éthylène	392 millions de dollars
Dow Chemical Company	Technologies de polymère avancé	536 millions de dollars

Coentreprises dans les plastiques mondiaux et la production chimique

Le portefeuille de coentreprise de Westlake Corporation comprend:

• Oxyvinyls LP (50/50 Joint-Venture avec Occidental Petroleum)
• Revenu annuel total de coentreprise: 1,8 milliard de dollars
• Capacité de production mondiale: 4,2 millions de tonnes métriques de produits chimiques par an

Fournisseurs de matières premières

Matière première	Fournisseur principal	Volume de l'offre annuelle	Valeur du contrat
Éthylène	Coquille chimique	1,2 million de tonnes métriques	684 millions de dollars
Propylène	Marathon pétrole	890 000 tonnes métriques	512 millions de dollars

Partenaires technologiques pour les solutions chimiques innovantes

Le réseau de partenariat technologique de Westlake comprend:

• BASF SE - recherche avancée en polymère
• Honeywell UOP - Catalyse et technologies de processus
• Investissement annuel de R&D grâce à des partenariats: 124 millions de dollars

Réseaux de distribution dans plusieurs industries

Industrie	Partenaires de distribution clés	Volume de distribution annuel
Construction	Approvisionnement en HD, Ferguson Enterprises	1,6 million d'unités
Automobile	Fournisseurs automobiles de niveau 1	2,3 millions de composants
Conditionnement	Berry Global, Air scellé	1,1 million de tonnes métriques

Westlake Corporation (WLK) - Modèle d'entreprise: activités clés

Fabrication et production chimiques

Capacité de production annuelle de 6,5 milliards de livres de produits chimiques et polymères à partir de 2023. Exploite 19 installations de fabrication à travers les États-Unis.

Catégorie de production	Volume annuel	Produits primaires
Produits chimiques spécialisés	2,3 milliards de livres	Vinyle, résines PVC
Performance Chemicals	1,7 milliard de livres	Composés chlorés
Produits en polymère	2,5 milliards de livres	Composés plastiques

Développement de produits en polymère et en plastique

L'investissement en R&D de 124 millions de dollars en 2022 s'est concentré sur les technologies avancées en polymère.

• Nouveau développement de formulation en polymère
• Ingénierie des matériaux avancés
• Innovations en plastique haute performance

Recherche et innovation en chimie durable

Budget de R&D en durabilité de 45 millions de dollars en 2023.

Domaine de mise au point de l'innovation	Investissement	Réduction de la cible
Réduction des émissions de carbone	18 millions de dollars	25% d'ici 2030
Chimie circulaire	15 millions de dollars	Matériaux recyclables
Efficacité énergétique	12 millions de dollars	20% de réduction d'énergie

Intégration verticale à travers la chaîne d'approvisionnement chimique

Opérations intégrées couvrant l'extraction des matières premières à la distribution finale des produits.

• Production chlor-alcali: 3,2 millions de tonnes par an
• Production d'éthylène: 2,1 millions de tonnes par an
• Contrôle direct sur 85% de la chaîne d'approvisionnement

Sustainabilité de l'environnement et optimisation de l'efficacité

Investissements totaux de conformité environnementale et d'optimisation de 92 millions de dollars en 2023.

Initiative de durabilité	Investissement	Impact environnemental
Réduction des déchets	35 millions de dollars	40% de réduction des flux de déchets
Conservation de l'eau	28 millions de dollars	30% de réduction de la consommation d'eau
Contrôle des émissions	29 millions de dollars	35% de réduction des gaz à effet de serre

Westlake Corporation (WLK) - Modèle d'entreprise: Ressources clés

Installations de fabrication de produits chimiques avancés

Westlake Corporation exploite 10 installations de fabrication à travers les États-Unis. Capacité de production totale de 9,5 millions de tonnes métriques par an en 2023.

Emplacement	Type d'installation	Capacité annuelle
Calvert City, KY	Plante de polyéthylène	1,5 million de tonnes métriques
Lac Charles, LA	Complexe de chlorovinyles	2,3 millions de tonnes métriques
Houston, TX	Installation de produits chimiques spécialisés	1,2 million de tonnes métriques

Portefeuille de propriété intellectuelle

Holdings de brevet: 127 brevets actifs en 2023, en mettant l'accent sur les technologies d'ingénierie des polymères et de traitement chimique.

• Brevets de formulation chimique: 62
• Brevets du processus de fabrication: 45
• Innovations en science matérielle: 20

Expertise technique en génie des polymères

Investissement en R&D de 187 millions de dollars en 2023, employant 312 ingénieurs et chercheurs spécialisés.

Capacités de capital financier et d'investissement

Métrique financière	Valeur 2023
Actif total	8,6 milliards de dollars
Equivalents en espèces et en espèces	612 millions de dollars
Dépenses en capital	423 millions de dollars

Main-d'œuvre qualifiée

Total des employés: 9 800 en décembre 2023

• Tenteurs de diplômes avancés: 42%
• Expérience moyenne de l'industrie: 14,6 ans
• Personnel technique: 65% de la main-d'œuvre

Westlake Corporation (WLK) - Modèle d'entreprise: propositions de valeur

Produits chimiques et plastiques de haute qualité

En 2023, Westlake Corporation a déclaré 6,3 milliards de dollars de revenus totaux, avec 4,1 milliards de dollars de son segment de performance et de matériaux essentiels.

Catégorie de produits	Revenus annuels	Part de marché
Chlorure de polyvinyle (PVC)	2,7 milliards de dollars	12.5%
Produits chimiques spécialisés	1,4 milliard de dollars	8.3%

Solutions innovantes pour diverses applications industrielles

Westlake a investi 127 millions de dollars dans la recherche et le développement en 2023.

• Technologies de polymère avancé
• Solutions de génie chimique personnalisé
• Développement de matériaux haute performance

Processus de fabrication rentables

Métriques de l'efficacité de la fabrication pour 2023:

Métrique	Valeur
Réduction des coûts de production	6.2%
Amélioration de l'efficacité énergétique	4.7%

Produits durables et respectueux de l'environnement

Investissements en durabilité en 2023: 85 millions de dollars

• Réduction des émissions de carbone de 22%
• Initiatives d'économie circulaire mise en œuvre
• A développé des gammes de produits écologiques

Solutions chimiques personnalisées pour les besoins spécifiques des clients

Revenus de solution personnalisée: 612 millions de dollars en 2023

Segment de l'industrie	Revenus de solution personnalisés
Automobile	214 millions de dollars
Construction	178 millions de dollars
Soins de santé	132 millions de dollars

Westlake Corporation (WLK) - Modèle d'entreprise: relations clients

Partenariats contractuels à long terme

Westlake Corporation maintient 87 accords d'approvisionnement à long terme avec des clients industriels à partir de 2023, avec une durée de contrat moyenne de 5,2 ans. Valeur totale du contrat estimé à 1,3 milliard de dollars.

Type de contrat	Nombre d'accords	Durée moyenne
Contrats d'approvisionnement chimique	42	5,7 ans
Accords d'approvisionnement en polymère	35	4,8 ans
Contrats de matériaux spécialisés	10	5,3 ans

Services de support technique et de consultation

Westlake Corporation fournit un support technique dédié avec 124 ingénieurs spécialisés dans plusieurs segments d'entreprise.

• Temps de réponse moyen: 2,1 heures
• Évaluation de satisfaction du client: 94,3%
• Heures de consultation technique annuelles: 18,750

Plates-formes de fiançailles clients numériques

Métriques de plate-forme numérique pour 2023:

Métrique de la plate-forme	Valeur
Utilisateurs de portail client en ligne	3,287
Utilisateurs numériques actifs mensuels	2,145
Taux d'achèvement de la commande numérique	87.6%

Développement de produits collaboratifs

Westlake Corporation a engagé 22 initiatives de développement de produits collaboratives en 2023, ce qui représente 47,3 millions de dollars en investissements de recherche conjoints.

• Collaborations du secteur automobile: 8 projets
• Innovation des matériaux de construction: 6 projets
• Développement de la technologie des emballages: 8 projets

Équipes de gestion des comptes dédiés

Structure de gestion des comptes à partir de 2023:

Segment de clientèle	Nombre d'équipes dédiées	Taille moyenne de l'équipe
Grands clients industriels	12	4,5 membres
Clients d'entreprise moyennes	18	3.2 membres
Comptes de partenariat stratégique	6	5.7 membres

Westlake Corporation (WLK) - Modèle d'entreprise: canaux

Force de vente directe

Westlake Corporation maintient une force de vente directe d'environ 350 professionnels de la vente dans plusieurs segments d'entreprise en 2023.

Région de vente	Nombre de représentants commerciaux	Ventes annuelles moyennes par représentant
Amérique du Nord	210	2,4 millions de dollars
Europe	85	1,9 million de dollars
Asie-Pacifique	55	1,7 million de dollars

Catalogues de produits en ligne et systèmes de commande

Westlake Corporation exploite des plateformes numériques avec les mesures suivantes:

• Volume de transaction annuel de plate-forme numérique: 1,2 milliard de dollars
• Utilisateurs du système de commande en ligne: 28 500 clients commerciaux enregistrés
• Catalogue numérique Page vues par mois: 425 000

Salons et conférences de l'industrie

Participation annuelle aux événements de l'industrie:

Type d'événement	Nombre d'événements	Les pistes estimées générées
Conférences de l'industrie chimique	12	850 Leads potentiels commerciaux
Expositions de technologie de polymère	8	620 pistes commerciales potentielles

Plateformes de marketing et de communication numériques

Performance du canal de marketing numérique:

• LinkedIn adepte: 45 000
• Budget annuel du marketing numérique: 3,6 millions de dollars
• Site Web Visiteurs mensuels uniques: 95 000

Réseaux de distributeur et de partenaire

Composition du réseau de distribution:

Catégorie de partenaire	Nombre de partenaires	Revenus annuels par le biais de partenaires
Partenaires de distribution chimique	87	620 millions de dollars
Revendeurs de la technologie des polymères	52	410 millions de dollars

Westlake Corporation (WLK) - Modèle d'entreprise: segments de clientèle

Constructeurs automobiles

Westlake Corporation fournit des produits chimiques et des matériaux spécialisés aux constructeurs automobiles, en mettant l'accent sur:

• Fabrication de pièces automobiles
• Composants à base de polymère

Segment de clientèle	Volume annuel	Contribution des revenus
Fournisseurs automobiles de niveau 1	425 millions de dollars	18,3% des revenus totaux

Industries de la construction et des infrastructures

Westlake fournit des solutions chimiques spécialisées pour les matériaux de construction et le développement des infrastructures.

• Systèmes de tuyauterie en PVC
• Matériaux d'isolation
• Composés chimiques spécialisés

Segment de marché	Ventes annuelles	Part de marché
Matériaux chimiques de construction	612 millions de dollars	22,7% du marché des segments

Producteurs de biens de consommation

Westlake soutient les fabricants de biens de consommation avec des intrants chimiques spécialisés.

• Matériaux d'emballage
• Composants des produits ménagers

Catégorie de produits	Revenus annuels	Taux de croissance
Documents de consommation Entrées chimiques	387 millions de dollars	5,6% d'une année à l'autre

Entreprises d'emballage et de fabrication

Westlake fournit des solutions chimiques critiques pour les secteurs d'emballage et de fabrication.

• Matériaux d'emballage en plastique
• Composés chimiques industriels

Segment de fabrication	Volume des ventes annuelles	Pénétration du marché
Solutions chimiques d'emballage	542 millions de dollars	16,9% de part de marché

Marchés chimiques agricoles et spécialisés

Westlake sert des segments de marché chimique agricole et spécialisé.

• Produits chimiques de protection des cultures
• Entrées agricoles spécialisées

Segment agricole	Revenus annuels	Positionnement du marché
Solutions chimiques agricoles	276 millions de dollars	12,4% du marché chimique spécialisé

Westlake Corporation (WLK) - Modèle d'entreprise: Structure des coûts

Frais d'approvisionnement en matières premières

Pour l'exercice 2023, Westlake Corporation a déclaré des frais d'approvisionnement en matières premières de 4,2 milliards de dollars. Le principal achat de matières premières de l'entreprise se concentre sur:

• Matériaux de production d'éthylène
• Chlore et approvisionnement en soda caustique
• Produits chimiques de qualité polymère

Catégorie de matières premières	Dépenses annuelles ($)
Matières premières à l'éthylène	1,650,000,000
Composés chimiques	1,250,000,000
Polymères spécialisés	1,300,000,000

Coûts de fabrication et de production

Les coûts de fabrication et de production de Westlake Corporation en 2023 ont totalisé 3,8 milliards de dollars, avec une panne comme suit:

• Coûts de main-d'œuvre directs: 520 millions de dollars
• Démontation de l'équipement: 340 millions de dollars
• Consommation d'énergie: 425 millions de dollars
• Entretien des installations: 215 millions de dollars

Investissements de recherche et développement

Westlake Corporation a investi 187 millions de dollars dans la recherche et le développement pour l'exercice 2023, ciblant:

• Technologies de polymère avancé
• Processus chimiques durables
• Amélioration des performances des gammes de produits existantes

Frais de logistique et de distribution

Les dépenses de logistique et de distribution pour 2023 s'élevaient à 612 millions de dollars, notamment:

Canal de distribution	Dépenses annuelles ($)
Transport	285,000,000
Entrepôts	197,000,000
Gestion des stocks	130,000,000

Coût de la conformité et de la réglementation environnementale

Les frais de conformité et de réglementation environnementale pour Westlake Corporation en 2023 étaient de 145 millions de dollars, couvrant:

• Surveillance environnementale
• Représentation réglementaire
• Contrôle des émissions
• Gestion des déchets

Westlake Corporation (WLK) - Modèle d'entreprise: Strots de revenus

Ventes de produits chimiques

Westlake Corporation a déclaré des revenus totaux de 6,16 milliards de dollars pour l'exercice 2023. Les revenus du segment chimique ont représenté 3,42 milliards de dollars.

Catégorie de produits	Revenus (2023)	Part de marché
Produits chimiques spécialisés	1,87 milliard de dollars	12.5%
Performance Chemicals	1,55 milliard de dollars	10.3%

Licence de polymère spécialisée

Les revenus de licence pour 2023 ont atteint 287 millions de dollars, ce qui représente 4,7% du total des revenus des entreprises.

• Licence de technologie PVC: 142 millions de dollars
• Licence avancée en polymère: 145 millions de dollars

Contrats de solution chimique personnalisés

Les contrats de solution personnalisés ont généré 512 millions de dollars en 2023, avec des industries clés, notamment:

Segment de l'industrie	Valeur du contrat
Automobile	187 millions de dollars
Construction	165 millions de dollars
Électronique	160 millions de dollars

Expansion du marché international

Les revenus internationaux pour 2023 ont totalisé 1,24 milliard de dollars, ce qui représente 20,1% du total des revenus des entreprises.

• Région Asie-Pacifique: 456 millions de dollars
• Marché européen: 392 millions de dollars
• Marché latino-américain: 392 millions de dollars

Services à valeur ajoutée et support technique

Le soutien technique et les services à valeur ajoutée ont généré 215 millions de dollars en 2023.

Catégorie de service	Revenu
Conseil technique	98 millions de dollars
Ingénierie personnalisée	117 millions de dollars

Westlake Corporation (WLK) - Canvas Business Model: Value Propositions

Performance and Essential Materials (PEM): Low-cost, essential chemical building blocks (PVC, polyethylene)

Westlake Corporation provides the fundamental chemical building blocks that support numerous downstream industries. The Performance Materials portion of the segment, which includes olefins and epoxies, saw net sales of approximately $1.12 billion in the first quarter of 2025, while Essential Materials, including PVC resin and caustic soda, had net sales of $753.23 million in that same period. The value proposition here is rooted in scale and essentiality; for instance, Westlake Corporation is the 2nd largest producer of PVC in the world, leveraging its high level of product integration. Furthermore, the company is the 2nd largest producer of Low Density Polyethylene in the Americas.

The financial performance in Q3 2025 showed the PEM segment with an adjusted EBITDA of $90 million on net sales of $1.7 billion. This contrasts with the $297 million adjusted EBITDA reported in Q3 2024. The essential nature of these materials means demand is tied to global industrial and manufacturing growth, with chlorine demand driven by needs for clean water and PVC for housing and infrastructure.

The core offerings within PEM include:

• Olefins and Styrene, used in medical devices and auto parts.
• Polyethylene Materials for food-safe films and packaging.
• Vinyls & PVC Resin, offering sustainable alternatives to traditional materials.
• Chlorine & Caustic Soda, backbone for water treatment and aluminum production.

Housing and Infrastructure Products (HIP): Durable, branded building materials (siding, pipe, roofing)

The HIP segment converts chemical outputs into finished, branded goods, providing durability and market presence. In the third quarter of 2025, this segment delivered net sales of $1.1 billion and an EBITDA of $215 million. The EBITDA margin for HIP in Q3 2025 was 20%. This segment has proven resilient, consistently generating EBITDA between $900 million and $1 billion on margins exceeding 20% every year since 2022.

The value proposition is delivered through specific product lines:

Product Category	Value Proposition Detail	Relevant Metric/Example
Pipe & Fittings	Supports water and electrical systems across North America.	Sales volume for pipe and fittings grew nearly 10% year-to-date in 2025, supported by municipal investments.
Building Products	Durable siding, trim, roofing, stone, windows, and outdoor living products.	Westlake Royal Building Products offers materials for more affordable and energy-efficient housing.
Global Compounds	Materials for electrical wiring and household fixtures.	Introduces GreenVin® PVC grades for lower carbon intensity compound formulations.

Sustainable product offerings like GreenVin® PVC using renewable energy certificates

Westlake Corporation actively provides lower-carbon product alternatives, often backed by European Guarantees of Origin (GOs) for renewable power usage. The GreenVin® brand is a key part of this offering, which includes:

• GreenVin® PVC, which is bio-attributed and approximately 3% less carbon intensive compared to conventionally produced Westlake PVC.
• GreenVin® Caustic Soda, which has a CO2 footprint reduced by more than 30% compared to conventional caustic soda.

The company has set a major climate goal to achieve a 20% reduction in its Scope 1 and Scope 2 CO2e emissions per ton of production by the year 2030, using a 2016 baseline.

Supply chain reliability due to vertical integration from raw materials to finished goods

The structure of Westlake Corporation, which spans from basic chemicals to finished building products, provides a distinct reliability advantage, especially when the chemical sector faces weakness. The forward integration into HIP has demonstrated its benefits, as the HIP segment generated an EBITDA of about $900 million in 2025 forecasts, offsetting PEM segment challenges. The company is executing on structural cost reductions, targeting $150 million-$175 million in savings for 2025, with $115 million already achieved as of Q3 2025.

Advanced materials for high-growth sectors like wind energy and electric vehicles

Westlake Epoxy materials extend the company's reach into high-growth, sustainability-oriented markets. Epoxy products are used in manufacturing critical components for renewable energy and transportation. For example, Westlake Epoxy materials are used in rotor blades for wind turbine generators. Furthermore, the company offers product innovations such as Molecular-Oriented PVCO pipe, which is 40% lighter in weight and more durable than conventional PVC pipe.

Westlake Corporation (WLK) - Canvas Business Model: Customer Relationships

Westlake Corporation supports its large, key industrial accounts through dedicated direct sales teams, which is the core of its B2B model within the Performance and Essential Materials (PEM) segment and for major infrastructure projects.

The company relies on its U.S.-based global customer service team, staffed by seasoned, experienced professionals. Many of these individuals have more than 30 years of experience building the long-term, one-on-one relationships that drive rapid response to customer needs. Considering Westlake Corporation has approximately 16,000 employees worldwide, this seasoned team represents a significant investment in relationship capital.

You get tailored levels of support, available 24/7, whether you are handling simple account inquiries or managing the complex material requisition process. This constant availability helps ensure material flow, which is critical when you consider the Housing and Infrastructure Products (HIP) segment saw sales volume grow 14% sequentially in the second quarter of 2025.

Proactive product stewardship is a key relationship element, ensuring safe handling and disposal practices are followed across the supply chain. For example, Safety Data Sheets are easily accessible, and you can reach Corporate Product Stewardship directly via email at MSDSInfo@axiall.com.

The commitment to building professionals through technical support is formalized in programs like Westlake Royal PROS. This structure is designed to embed Westlake Corporation as a supplier of choice, a strategy that seems to be working given the HIP segment's pipe and fittings sales volume grew nearly 10% year-to-date in the third quarter of 2025, supported by municipal investments.

Here's a quick look at the specific relationship and support channels available:

Relationship Focus Area	Program/Contact Detail	Quantifiable Data Point
Long-Term Relationship Building	Seasoned Customer Service Professionals	Many have over 30 years of experience
Material Requisition & Inquiries	24/7 Tailored Customer Service	Available continuously for material needs
Product Stewardship/Safety	Corporate Product Stewardship Email	MSDSInfo@axiall.com
Technical Support & Training (HIP)	PROS Perks Loyalty Program	For siding, trim, and decking professionals
Technical Support & Training (HIP)	Stone Certified Installer Program	For masons, offering certification
Technical Support & Training (HIP)	DaVinci Masterpiece Contractor Program	Offers rebates, marketing, and sales support

The success in the building products side shows the impact of these focused relationships; the HIP segment delivered an EBITDA of $215 million in the third quarter of 2025, demonstrating that strong customer ties translate directly to financial performance even in challenging markets.

Westlake Corporation also offers specific technical training resources, including Continuing Education and Roofing Installer Training, to help building professionals maximize the value of their products.

For specific product lines, direct contact numbers are provided for rapid issue resolution:

• PVC and Chlor-Alkali Products: Tel: +1-800-321-8550
• Chlor-Alkali Products and Chlorinated Ethylenes: Tel: +1-800-243-6774
• Water Treatment Products: Tel: +1-800-245-2974

Finance: draft 13-week cash view by Friday.

Westlake Corporation (WLK) - Canvas Business Model: Channels

You're looking at how Westlake Corporation (WLK) gets its products-from basic chemicals to finished building materials-into customer hands across its two main segments, Performance and Essential Materials (PEM) and Housing and Infrastructure Products (HIP). The channel strategy is dual-pronged, reflecting the difference between selling high-volume industrial commodities and specialized construction goods.

For the PEM segment, which had net sales of $1.7 billion in the third quarter of 2025, the channels rely heavily on direct relationships for major contracts. This is where the direct sales force for large-volume chemical and polymer contracts comes into play, securing long-term agreements for products like PVC resin and caustic soda.

The chemical side also relies on an extensive network of wholesale distributors for chemical products. While specific distributor counts aren't public, the scale of the PEM segment's operations suggests a wide reach to handle the flow of essential materials globally.

The HIP segment, which recorded $1.1 billion in sales for the third quarter of 2025, uses a more physical, localized distribution model built around construction supply chains. This involves direct relationships with building material suppliers and dealers for HIP segment products. The segment's infrastructure supporting this includes 48 distribution centers.

Westlake Corporation also engages in direct engagement with architects, designers, and building professionals, especially for its branded building products under the Royal Building Products umbrella. This specification-driven approach helps pull demand through the supply chain. As of mid-2025, the HIP segment served approximately 21,800 customers, indicating a broad base of end-users reached through these dealer and professional channels.

The company utilizes a global shipping and logistics network for international sales. This channel is critical, as evidenced by the third quarter of 2025 results noting that lower average sales price was driven partly by 'unfavorable sales mix with higher sales in the export markets where pricing is typically lower'. This confirms that international movement of product is a measurable part of their channel activity, even if it pressures immediate pricing.

Here's a quick look at the scale of the segments utilizing these channels in the most recent reported quarter:

Channel Focus Area	Segment Relevance	Q3 2025 Sales (in millions of USD)	Key Operational Metric
Direct Chemical Contracts	Performance and Essential Materials (PEM)	$1,700	Implied by large-volume contracts
Wholesale Distribution	Performance and Essential Materials (PEM)	$1,700	Handling of commodity chemicals
Building Suppliers/Dealers	Housing and Infrastructure Products (HIP)	$1,100	Serves approximately 21,800 customers
Architect/Designer Engagement	Housing and Infrastructure Products (HIP)	$1,100	Utilizes 48 distribution centers
Global Shipping/Export	Both Segments (PEM more heavily)	$2,838 (Total Net Sales)	Export sales noted as impacting Q3 2025 pricing

The HIP segment's channel strength is also visible in its product breadth, managing approximately 62,000 SKUs. To manage this complexity, Westlake Corporation operates 70 manufacturing sites alongside those distribution centers.

For the trailing twelve months ending September 30, 2025, Westlake Corporation generated total revenue of $11.5B, all flowing through these established direct and indirect channels.

Westlake Corporation (WLK) - Canvas Business Model: Customer Segments

You're looking at the core buyers for Westlake Corporation's massive materials and products output as of late 2025. Honestly, the customer base is split across two main operational areas, which map directly to the groups you listed.

The Performance and Essential Materials (PEM) segment serves the industrial and specialty chemical needs, while the Housing and Infrastructure Products (HIP) segment focuses on construction and infrastructure demand. For the third quarter of 2025, Westlake Corporation reported net sales of $2.8 billion. The revenue split between these two major customer-facing segments gives you a clear picture of where the dollars were coming from in that period.

Customer Group Focus (Segment)	Q3 2025 Net Sales (Millions USD)	Key Products
Industrial Manufacturers & Specialty End-Users (PEM)	$1,700	PVC resin, Caustic Soda, Ethylene, Epoxy Resins
Construction & Infrastructure/Residential (HIP)	$1,100	Pipe, Fittings, Siding, Roofing, Trim, Compounds

The PEM segment, which includes the essential chemicals, brought in $1.7 billion in net sales for the third quarter of 2025, while the HIP segment, focused on building and infrastructure, accounted for $1.1 billion. This shows the sheer scale of the industrial side of the business, even amidst challenging commodity markets.

Here is a breakdown of the specific customer groups Westlake Corporation serves:

• Industrial Manufacturers: Buyers of essential chemicals (PVC resin, caustic soda, ethylene) for packaging, automotive, and healthcare. Westlake Corporation holds the #2 Global ranking for Combined Chlorovinyls and Chlor-Alkali, PVC, and Specialty PVC.
• Construction and Infrastructure Companies: Purchasers of pipe, fittings, and compounds. Pipe & Fittings sales volume grew nearly 10% year-to-date in Q3 2025, supported by municipal water infrastructure investments.
• Residential Builders and Remodelers: Users of branded building products (siding, roofing, trim). The HIP segment saw solid double-digit growth in Compounds, Siding & Trim, and Roofing in Q1 2025, driven by the strength of Westlake Corporation's brands.
• Water Treatment Facilities: Consumers of chlor-alkali products. This is a core application for the PEM segment's output.
• Specialty End-Users: Companies needing epoxy resins for wind turbines and aerospace. Westlake Corporation's products serve key market trends including Electrification, Wind power, and Aviation.

To be fair, the HIP segment, which serves construction, still generated $151 million in income from operations in Q3 2025, showing its direct customer base remains active despite sequential sales volume declines. Finance: draft 13-week cash view by Friday.

Westlake Corporation (WLK) - Canvas Business Model: Cost Structure

Raw material and energy costs are the primary cost drivers for Westlake Corporation, particularly impacting the Performance and Essential Materials (PEM) segment. Higher North American feedstock and energy costs were cited as a reason for the year-over-year decrease in PEM income from operations in the first quarter of 2025. For instance, in the second quarter of 2025, higher feedstock and energy costs in North America contributed to the year-over-year EBITDA decline.

The cost structure includes significant fixed costs associated with operating large-scale, integrated chemical plants. A major non-cash charge reflecting asset value was recorded in the third quarter of 2025, specifically a $727 million non-cash impairment charge representing all of the goodwill associated with the North American Chlorovinyls reporting unit. Furthermore, costs related to footprint optimization, such as the Pernis facility closure, resulted in accrued expenses and inventory write-offs.

Capital expenditures remain substantial, with a full-year 2025 projection around $900 million. For the first six months of 2025, capital expenditures totaled $515 million, primarily for production capacity increases, cost reduction projects, maintenance, and environmental projects at various facilities.

Period/Metric	Capital Expenditures (Millions USD)	Turnaround/Outage Impact on PEM EBITDA (Millions USD)
Q1 2025 (Actual)	$248	Approximately $80 (year-over-year impact)
Q2 2025 (Actual)	$267	Approximately $110 (year-over-year impact)
Q3 2025 (Actual)	$239	Lower impact compared to Q2 2025
H1 2025 (Actual)	$515	Sequential higher impact of $30 (Q2 vs Q1)

Costs associated with planned turnarounds and unplanned plant outages create volatility. In the second quarter of 2025, the elevated level of these events in the PEM segment led to lower production levels for chlorine, caustic soda, and PVC resin. The sequential impact from planned turnarounds and unplanned outages in the PEM segment was a $30 million higher impact in Q2 2025 compared to Q1 2025. Separately, specific facility closure costs, referred to as Identified Items, totaled $130 million in the second quarter of 2025, comprising $108 million in accrued expenses and a $15 million inventory write-off for the Pernis shutdown, plus $7 million in expenses for the temporary cessation of a PVC resin unit in China.

Selling, General, and Administrative (SG&A) expenses reflect the cost of managing global operations. For the three months ended March 31, 2025, Selling, General, and Administrative expenses were $227 million. The company is actively targeting controllable costs, having eliminated over $75 million of company-wide costs in the first half of 2025 toward a full-year 2025 cost savings target of $150-$175 million, with a new structural reduction goal of $200 million set for 2026.

• Amortization of intangibles was $30 million for the three months ended March 31, 2025.
• Restructuring, transaction and integration-related costs were $7 million for the three months ended March 31, 2025.

Westlake Corporation (WLK) - Canvas Business Model: Revenue Streams

You're looking at the core ways Westlake Corporation brings in money, which really boils down to two main buckets: the chemicals side and the building products side, plus a smaller stream from its partnership interest.

The first major revenue source comes from Sales of Performance and Essential Materials (PEM). This is where Westlake Corporation sells its foundational chemical products, like PVC resin, polyethylene, and caustic soda, to various industrial customers.

The second, and often more resilient, stream is the Sales of Housing and Infrastructure Products (HIP). This covers finished goods you might recognize, such as pipe, siding, and roofing materials, which are tied closely to construction and infrastructure spending.

To give you a sense of scale for the year so far, Total Net Sales for the nine months ended September 30, 2025, were approximately $8.7 billion. This total is the sum of the performance materials and the housing/infrastructure product sales across those three quarters.

Here's a look at the revenue breakdown across the segments for the most recent reported quarter, Q3 2025, and the full-year expectation for HIP:

Revenue Component	Financial Figure	Period/Context
Total Net Sales (Nine Months Ended 9/30/2025)	$8.7 billion	Year-to-Date
HIP Segment Revenue Guidance (Full Year 2025)	Between $4.2 billion and $4.4 billion	Full Year 2025 Estimate
HIP Segment Sales (Q3 2025)	Decreased 6% sequentially	Quarterly Performance
PEM Segment Sales (Q3 2025)	Higher sales volume offset by lower average sales price	Quarterly Performance

Westlake Corporation also collects revenue through Fees and distributions from the Westlake Chemical Partners LP joint venture. This is income derived from its ownership stake in the master limited partnership, which operates ethylene production facilities.

For the third quarter of 2025, Westlake Chemical Partners LP reported specific financial metrics that feed into this revenue stream:

• Revenue for Westlake Chemical Partners LP was $308.9 million for the quarter ending September 30, 2025.
• The Partnership declared a quarterly distribution of $0.4714 per common unit for the third quarter of 2025.
• The Partnership's net income attributable to the Partnership for Q3 2025 was $14.7 million.

The PEM segment revenue is made up of sales for products like PVC resin, polyethylene, and caustic soda. The HIP segment revenue is driven by sales of pipe, siding, and roofing. It's defintely clear that the performance of the HIP segment, with its projected $4.2 billion to $4.4 billion revenue for the full year, provides a solid floor when the PEM segment faces commodity price swings.

Finance: draft 13-week cash view by Friday.