MOSCOW (MRC) -- AkzoNobel has completed phase one of the EUR2.5 million expansion of its performance coatings plant in Cikarang, Indonesia, said the producer on its site.
The investment will increase capacity at the facility by 40 percent and will help the company meet growing domestic demand – driven by the petrochemical and power sectors – for its International brand marine and protective coatings products.
Speaking at the recent inauguration ceremony, Mauricio Bannwart, Managing Director of AkzoNobel's Protective Coatings business, said: "This investment is a testament to our commitment to Indonesia, which continues to improve its position as an emerging market.
"We have installed state-of -the-art, automated equipment at Cikarang, which will significantly improve product quality, safety and sustainability standards."
Commenting on the expansion, Oscar Wezenbeek, Managing Director of AkzoNobel's Marine Coatings business, said: "We are excited about the fast-growing domestic market opportunity in Indonesia. The country has great maritime potential, with a 54,720 kilometer coastline, inclusive government policy and an opportunity to build a robust shipbuilding industry."
Having first established itself in Indonesia in 1971, AkzoNobel has since become the largest paints and coatings producer in the country. The company operates three manufacturing sites, supplying both decorative and performance coatings, employing more than 1,000 people.
As MRC informed earlier, AkzoNobel seeks further expansion in China with its new plant in Chengdu, capital city of China’s southwestern Sichuan Province, starting operation on 29 April. The plant is AkzoNobel’s fourth production site in China, which will mainly provide decorative painting and powder coating products to architectural markets across Sichuan Province and nearby areas. The firm hopes to further explore the potentials in China’s western areas amidst the country’s urbanization process.
Akzo Nobel N.V., trading as AkzoNobel, is a Dutch multinational, active in the fields of decorative paints, performance coatings and specialty chemicals. Headquartered in Amsterdam, the company has activities in more than 80 countries, and employs approximately 55,000 people.
MRC