Investments in Affiliates

12 Months Ended

Dec. 31, 2022

Investments in and Advances to Affiliates, Schedule of Investments [Abstract]

Investments in Affiliates

Investments in Affiliates

Entities in which the Company has an investment accounted for under the equity method of accounting or equity investments without readily determinable fair values are considered affiliates; any transactions or balances with such companies are considered affiliate transactions.

In October 2020, the Company completed the sale of its 45% joint venture equity interest in Polyplastics Co., Ltd. ("Polyplastics"), to its joint venture partner Daicel Corporation ("Daicel"), for a purchase price of approximately $1.6 billion in cash. In connection with the transaction, the Company recorded a gain on the sale of its equity interest in Polyplastics of $1.4 billion to Gain (loss) on sale of investments in affiliates in the consolidated statements of operations and income tax expense, net, of approximately $254 million during the three months ended December 31, 2020. The gain on the sale of the Company's equity interest in Polyplastics was included in its Engineered Materials segment.

In addition to the sale of the Company's 45% equity interest in Polyplastics, the agreement also provided for the amendment of certain supply agreements and the execution of certain intellectual property licenses between Celanese, certain of its affiliates and Polyplastics and Daicel, as applicable, as well as the termination of certain agreements and a mutual release of liabilities under such terminated agreements.

Equity Method

As a part of the M&M Acquisition, the Company acquired certain equity method investments and ownership interests. See Strategic Affiliates in Item 1. Business for additional information.

The Company has ownership interests in 13 equity method investments ranging from 22% to 50% at December 31, 2022.

Equity method investments by business segment are as follows:

	Carrying Value as of December 31,		Share of Earnings (Loss) Year Ended December 31,			Dividends and Other Distributions Year Ended December 31,
	2022	2021	2022	2021	2020	2022	2021	2020
	(In $ millions)
Engineered Materials(1)	760	595	209	133	120	(204)	(98)	(137)
Other Activities	53	58	11	13	14	(13)	(14)	(10)
Total	813	653	220	146	134	(217)	(112)	(147)

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(1)Engineered Materials includes an equity method investment with losses in excess of its carrying amount due to the Company's guarantee of various debt obligations under agreements with third parties related to an equity affiliate (Note 19). This equity method investment was recorded in Current other liabilities (Note 10) as of December 31, 2022.

Equity Investments Without Readily Determinable Fair Values

The Company has ownership interests in 4 equity investments without readily determinable fair values ranging from 8% to 31% at December 31, 2022.

Equity investments without readily determinable fair values by business segment are as follows:

	Carrying Value as of December 31,		Dividend Income for the Year Ended December 31,
	2022	2021	2022	2021	2020
	(In $ millions)
Acetyl Chain	165	165	132	146	126
Other Activities	5	5	1	1	—
Total	170	170	133	147	126

Transactions with Affiliates

The Company owns manufacturing facilities at the InfraServ location in Frankfurt am Main-Hoechst, Germany and has contractual agreements with the InfraServ Entities and certain other equity affiliates and investees accounted for at cost less impairment, adjusted for observable price changes for an identical or similar investment of the same issuer. These contractual agreements primarily relate to energy purchases, site services and purchases of product for consumption and resale.

Transactions and balances with affiliates are as follows:

	Year Ended December 31,
	2022	2021	2020
	(In $ millions)
Purchases	590	334	249
Sales and other credits	72	74	42

	As of December 31,
	2022	2021
	(In $ millions)
Trade receivables	8	—
Non-trade receivables	36	32
Total due from affiliates	44	32
Short-term borrowings(1)	—	64
Trade payables	36	71
Current Other liabilities	37	12
Total due to affiliates	73	147

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(1)The Company has agreements with certain affiliates whereby excess affiliate cash is lent to and managed by the Company at variable interest rates governed by those agreements.