Speciality Chemicals Chemtura to Build new Speciality Chemicals Manufacturing Facility in China
Speciality Chemicals producer Chemtura plans to strengthen its presence in Asia by building a new production site for Petroleum Additives and Urethanes in Nantong, China.
Philadelphia, Pennsylvania/USA – Chemtura expects this plan to enhance the company's business in the regional expanding markets. Production at Nantong is planned to supply Chemtura’s Petroleum Additives and Urethanes businesses in the area, but additional capacities should provide sufficient materials for other regional Chemtura businesses.
“Installation of grease capacity in China would provide our customers with a more secure global supply capability, and place capacity in the region with the highest growth rate,” said Craig A. Rogerson, Chemtura’s chairman, president, and chief executive officer. “This project lays the groundwork for growth through investment in the world’s most rapidly expanding market. It will enhance our ability to satisfy customer demand in China and the wider Asia-Pacific region,” he added.
Plant Expected to Support Regional Demand for Speciality Chemicals
Chemtura expects, according to company officials, a certain grow in its Urethanes business, including low-free (LF) prepolymer urethanes. This growth shall be driven by the commercialization of the new Adiprene Duracast product line as well as by an increasing global and regional demand for other LF products. Chemtura believes that the Petroleum Additives business requires local manufacturing and storage capabilities for some of its product lines in order to meet customer demands. These include synthetic finished fluids (refrigeration lubricants, air compressor lubricants and gear oils), and calcium sulfonate grease, the company says.
“Local manufacturing capacity for synthetic lubricants is required for the business to respond to the market’s demand for shorter lead times,” said Sean O’Connor, president, Petroleum Additives. “Installation of grease capacity in China would provide our customers with a more secure global supply capability, and place capacity in the region with the highest growth rate.”
Chemtura announced that, in addition to its new facility at Nantong, the company would also strive to establish a regional presence with a sales representation, technical development centers, joint ventures and bolt-on acquisitions. “We will further empower our regional teams to serve their growing customer base with robust service functions and technical support capabilities,” Rogerson added.