Performance Materials BASF to Start Compounding Facility in Shanghai ahead of Schedule
Chemical giant BASF strengthens its performance materials production in China to better serve key industries in Asia Pacific. The company’s compounding facility for Ultramid polyamide and Ultradur PBT compounds at its Pudong site in Shanghai has started operation ahead of schedule.
Shanghai/PR China – BASF has undertaken three key capacity expansion projects for performance materials at its Pudong site in Shanghai: Ultramid (polyamide, PA), Ultradur (polybutylene terephthalate, PBT), Elastollan thermoplastics polyurethane elastomers (TPU), and Technical Center and capacity expansion of Cellasto (microcellular polyurethane components).
The compounding plant’s total capacity for Ultramid and Ultradur compounds has doubled from currently 45,000 to more than 100,000 metric tons per year — making it BASF’ s biggest engineering plastics compounding facility in Asia Pacific. The expansion, which is operational more than six months ahead of schedule, also includes a compounding line for specialty grades that enables BASF to tap the burgeoning market potential for specialty applications. With this project and the new compounding plant in Yesan, Chung Nam Province, Korea, which is expected to begin operations from the end of 2015, BASF’s overall compounding capacities in Asia will increase from the current 130,000 to a total of 225,000 metric tons.
“More than 60 % of China’s people will live in cities by 2020. Supporting an environmentally-friendly path for urbanization presents a huge opportunity for chemistry as an enabler for sustainable innovations in areas ranging from industrial manufacturing to construction, transportation and consumer goods,” said Albert Heuser, President, Greater China and Functions Asia Pacific, BASF.
“As the leading producer of polyamide, PBT, TPU and Cellasto, and preferred business partner for our customers , we continuously strengthen our position in key markets. With our technical and engineering competence, we help our customers differentiate in their markets and gain a competitive advantage. We put a strong emphasis on new market and product development, and these capacity expansions will support this future growth,” said Raimar Jahn, President, Performance Materials, BASF.
BASF estimates the Asia Pacific market for engineering plastics will grow on average by about 7 % per year. This growth is driven by the increasing usage of engineering plastics in various segments, including transportation, construction, high speed railway, as well as the electrical and electronics industry. Ultramid and Ultradur are used in automotive parts and innovative applications include seat structures, oil sump modules, sensors, engine mounts, connectors and highly integrated laser-structured electronic devices.
Additionally, according to China’s national New Urbanization Plan (2014-2020), with additional 100 million people living in cities by 2020, the percentage of more energy-efficient and environmentally-friendly buildings among newly constructed buildings in China will rise to 50 % from 2 % today. BASF recently introduced co-extrudable Ultradur to reinforce thermally insulated PVC window profiles, an important contributor to building energy efficiency.