Dutch chemicals company AkzoNobel Specialty Chemicals has broken ground on a new organic peroxide production facility in Tianjin, China.
The €90m facility, located in the Tianjin Nangang Industrial Zone, will replace the company’s existing organic peroxides plant in Tianjin, in a bid to support China’s urban planning efforts.
Launched in 2014, China’s new urbanisation plan is a six-year initiative with the aim to transform China and kick-start its next phase of economic development.
AkzoNobel’s new production unit is scheduled for completion in the second quarter of 2020, providing capacity expansions of between 30 and 70% depending on product line.
Organic peroxides are essential in the manufacture of a wide range of polymers including PVC and thermoset resins.
“Demand for organic peroxide continues to increase in Asia and around the world,” said Jack Li, regional sales director polymer chemistry, speaking at a 5 July to launch the project.
According to Li the market for organic peroxides is growing 5-6% annually in China.
Also commenting, Johan Landfors, executive committee member responsible for polymer chemistry, said the company was focusing on improving sustainability at the new site to meet the Chinese government’s stringent requirements.
“We are installing an innovative technology to minimise discharge of waste water. New equipment will also streamline our production processes, helping us to reduce our water and energy consumption while removing volatile organic compounds,” he noted.
“Our company is committed to China and has received strong support from its government agencies to ensure success on this project,” said Werner Fuhrmann, CEO of AkzoNobel Specialty Chemicals.
AkzoNobel Specialty Chemicals, which is in the process of being divested from AkzoNobel NV, has pumped more than €180m over the last three years into expanding its footprint at its sites globally.
The company announced a €12m investment in January this year to expand organic peroxides production in Mexico.