China: Material for Baby Diapers Toray Invests in Production of Polypropylene Spunbond
Toray intends to build a production plant in the Chinese city of Foshan, Guangdong Province, with the aim of starting a high-performance polypropylene spunbond business. For this purpose, the company will establish Toray Polytech, in November, and plans to set up a production facility with an annual capacity of 20,000 tons of PP spunbond.
Tokyo/Japan — Demand for disposable baby diapers is expanding in China as the people’s lifestyle improves with rising income and also due to increase in newborns with the discontinuation of the one-child policy. Major sanitary product manufacturers are actively establishing or expanding their production facilities for diapers in China, which has led to a rapid increase in demand for PP spunbond, the main material for disposable diapers. Especially, South China region, which accounts for nearly 60 % of the demand in the country, is witnessing a rapid demand growth and manufacturers are facing increased requirements for strengthening the supply of the material in the region.
Toray Group has been supplying high-performance PP spunbond to its customers in China primarily from TPN, and with the establishment of the new production facility in South China. The group has been working on enhancing the production capability at its bases in Republic of Korea, China and Indonesia to cater to the robust demand for PP spunbond and has built a strong supply structure as the major supplier for the material in Asia.
With the establishment of TPF, the company wants to cover the demand in China, which is the largest consumer of diapers, but also accelerate the PP spunbond global business.
The facility is expected to start operations in fiscal year 2019. It will be the second PP spunbond production facility in China for Toray following Toray Polytech (Nantong).