In this statement, [X] is the subject of will be possible. But it's not [X] that will be possible.
What will be possible is for X to be used here as Y, the infinitive complement.
In other words, the sentence
- For X to be used here as Y will be possible.
is the original source. This can be Extraposed
- It will be possible for X to be used here as Y.
But the subject [X] can't be Raised, because the predicate possible doesn't govern Raising, with either an active or a passive infinitive:
- *X is possible __ to ... to be used here.
- *X is possible __ to ... to go here.
and it also doesn't govern Tough-Movement, which would extract an object instead of a subject:
- *X is possible to use __ here ... here.
There are predicates that will work in these constructions:
- X is likely to be used there.
- X is likely to go there.
- X is easy to use there.
But possible is not one of them. Change the predicate and you change the constructions.