BASF will invest in a dispersions plant in Daya Bay Petrochemical Industrial Park in Huizhou, China. With an annual capacity of 100,000 tons, the new plant will produce XSB dispersions for the paper industry and acrylic dispersions for industries such as coatings, construction, printing & packaging and adhesives . The facility will benefit from local availability of raw materials and proximity to key customers who serve Asia’s fastest-growing consumer markets. Production is scheduled to begin in the first quarter of 2012, subject to government approval. The investment is part of BASF’s growth strategy for Asia Pacific, which has the goal of doubling sales by 2020.
“This is an important step for BASF in Asia, following the establishment of our Paper Chemicals division in 2009. The investment strengthens BASF’s commitment to the paper and board industry, with South China offering one of the fastest-growing markets in the region. With this facility, we are well positioned to support our customers’ aspirations for growth and success in the South,” said EngSoo Chew, Senior Vice President, Paper Chemicals Asia Pacific.
“With our upstream monomer integration in China, world-scale dispersion plants exceeding half a million tons in capacity and unique process for manufacturing low-VOC dispersions, we are well positioned to support our customers’ strong growth with a reliable supply of water-based acrylic dispersions in the region,” said Gops Pillay, Senior Vice President, Dispersions & Pigments Asia Pacific.
The investment reflects BASF’s focus on participating in the strong growth of markets in emerging Asia. The additional capacity will strengthen and complement its regional production network for XSB and acrylic dispersions, which currently includes plants in East China, Indonesia and India. XSB dispersions are used as coating binders for paper, while acrylic dispersions are used in paints and coatings, printing and packaging, construction materials and adhesives.
About BASF’s Dispersions and Pigments Division
BASF is the leading global supplier of raw materials for the coating and paint industry. The new division Dispersions & Pigments combines all BASF offerings towards this industry. The portfolio encompasses pigments, resins, dispersions and a broad range of additives like light stabilizers and photoinitiators. Further end-use industries include construction materials, adhesives, printing and packaging. Our portfolio is focused on environmentally friendly systems, such as low-VOC water-based coatings.
About BASF’s Paper Chemicals division
BASF’s Paper Chemicals division offers process chemicals to optimize costs and increase machine efficiency, functional chemicals to lend specific properties to paper and finishing chemicals to improve the appearance and performance characteristics of printed paper and board. With this comprehensive portfolio, BASF is the leading supplier of paper chemicals worldwide.
BASF established Paper Chemicals as a separate division when it acquired Ciba in April 2009. The ISO 9001:2000-certified Paper Chemicals division operates sites in Europe, Asia and the Americas. For more information, go to http://www.paper-chemicals.basf.com.