MOSCOW (MRC) -- BASF, German chemical major, has announced its plans to invest more than USD200 million in its plastic additives business worldwide, reported Hydrocarbonprocessing.
Part of this investment will focus on strengthening its manufacturing footprint in North America by investing in its McIntosh, Ala., site to support market growth.
BASF’s investment aligns with announced expansions by existing and new polyolefin producers in North America, which significantly increases production capacity in the market.
"To us, this is a clear signal of our customers' commitment to growth in the region," said Anup Kothari, Senior Vice President, BASF Performance Chemicals. "The close proximity of our McIntosh site to our customers’ plants places us in an ideal position to fuel their growth."
BASF"s investment in McIntosh will expand the production capacity of light stabilizers, namely the Tinuvin product line. In addition to its US locations, BASF’s Plastic Additives business has manufacturing sites in Mexico, Germany, Italy, Switzerland, Bahrain, China and Singapore.
As MRC reported earlier, in August 2015, SIBUR, Russian integrated gas processing and petrochemical company, and BASF extended their long-term agreement on supply of additives used for polymer manufacturing at SIBUR production facilities. The agreement provides for supply of additives improving the quality of finished products for production of polypropylene, polyethylene, synthetic rubber, thermoplastic elastomers by BASF to SIBUR. Apart from that, the parties will continue to implement their joint projects related to development of new grades of polypropylene, polymer stabilization optimization, and introduction of customer specific blends (CSB), ensuring higher production efficiency and stable high quality of products. SIBUR and BASF signed the long-term cooperation memorandum on supply of additives used for polymer manufacturing at SIBUR production facilities in 2013.
BASF is the largest diversified chemical company in the world and is headquartered in Ludwigshafen, Germany. BASF produces a wide range of chemicals, for example solvents, amines, resins, glues, electronic-grade chemicals, industrial gases, basic petrochemicals and inorganic chemicals. The most important customers for this segment are the pharmaceutical, construction, textile and automotive industries. BASF generated sales of more than EUR70 billion in 2015.
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