Swiss speciality chemicals company Clariant AG and China’s Tiangang Auxiliary Co. have signed a joint venture agreement to produce polymer additives to be used in industries such as textile and automotive.
In a 13 Sept statement the Swiss company said the ‘multi-million frank’ project, which is subject to merger control clearance, will seek to establish “world class production facility in China to meet the growing local demand for process and light stabiliser additives.”
The new plant will be built in Cangzhou national coastal-port economy and technology development zone, Hebei province, with production scheduled to come on stream in the first half of 2019.
Tiangang Auxiliary is a privately-owned producer and leading supplier of UV Light Stabilisers in China.
“The partnership with Tiangang is another successful step toward strengthening Clariant’s position in China. It provides us with a stronger local footprint to better position our innovative solutions in the growing Asia region, especially in China,” said Christian Kohlpaintner, Clariant's executive committee member residing in China.
China, said Clariant, is one of the key markets for high-end process and light stabilisers, including the company’s Nylostab S-EED chemistry.
The JV also plans to expand its offering of solutions for the automotive industry in the future.
The partnership with Tiangang is Clariant’s latest move to expand local footprint of additives business in China.
The company announced in May that it was making a major investment in Zhenjiang, China to produce AddWorks, synergistic additive solutions and Ceridust, micronised waxes serving the plastics, coatings and inks industries.
The plant in Zhenjiang is scheduled to come on stream in the second half of 2018.