MOSCOW (MRC) -- Eager to sustain its customers’ strong growth, in particular in automotive, 3D-printing, and in consumer goods markets such as sports and electronics, Arkema has announced an investment plan of some EUR300 million over 5 years in the biosourced polyamide (PA) 11 chain, as per the company's press release.
This major investment will enable the Group to increase by 50% its PA 11 global production capacities. The project falls in line with Arkema’s strategy to speed up its development in advanced materials, one of the key pillars of its future growth, sustained by a unique portfolio of innovations around the main sustainable development trends.
Arkema announces a major investment plan in its biosourced polyamide 11 chain with a view to significantly increasing its production capacities in Asia.
Over the next five years, the group plans to invest some EUR300 million in building, in Asia, a world-scale plant dedicated to producing Rilsan PA11 biosourced polyamide from castor oil.
The new plant, which will produce both the amino 11 monomer and its polymer, Rilsan® PA11, should come on stream in late 2021. It will enable Arkema to increase by 50% its Rilsan PA11 (powder and granule) production capacity. The investment also includes a 50% increase in global production capacities for Pebax, in particular Pebax RNew, of which amino 11 is a key component. Pebax RNew is a biosourced polyamide elastomer with unique properties such as energy return and flexibility, earmarked in particular for the sports and electronics markets.
With this upcoming plant, Arkema will have a second amino 11 monomer production site, complementing its historical site in Marseille, France.
Rilsan PA11 is the only high performance 100% biosourced polyamide to qualify for the most exacting applications in particular in the electronics, 3D-printing and automotive markets, where it serves as a metal substitute.
This investment illustrates the Group’s long-term commitment to fulfil strong demand from its customers in Asia by offering biosourced solutions to the key challenges of lightweighting and design of materials. Over the next few years, annual growth of some 7% is forecast in these markets in Asia.
With this project, the specialty polyamides business, which already achieves 40% of its sales in Asia, will bolster its industrial, commercial and R&D presence in the region. The group thereby confirms its commitment to support its customers by working closely on their individual needs and providing them with the right innovative solutions that match the local specifics of their various markets.
As MRC informed previously, in early March 2017, Arkema completed the sale to INEOS of its 50% stake in Oxochimie, their oxo alcohols manufacturing joint venture, and of the associated business. The impact of this divestment on the group’s annual sales will represent some EUR40 million. With this operation, Arkema continues to implement its divestment program.
Arkema is a global manufacturer in specialty chemicals and advanced materials, with 3 business segments - High Performance Materials, Industrial Specialties, and Coating Solutions. The company reports annual sales of EUR7.5 billion. Buoyed by the collective energy of its 19,700 employees, Arkema operates in close to 50 countries.
MRC