Arkema to expand production polyamide 12 in China mid-2020

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Overig advies 07/02/2018 11:19
In addition to its previously announced investment its polyamide 11 global production capacities, which will increase capacity by 50%, Arkema has now released plans to expand its its global polyamide 12 production capacities, as well.

Arkema's PA 12 is sold under the brand name Rilsamid. The company will boost capacity by 25% in order to better meet its customers' strong demand in Asia.

This new capacity will be added at Arkema's Changshu platform in China and is expected to come on stream by mid-2020.

With this latest project, the specialty polyamides business will continue to bolster its industrial, commercial and R&D presence in Asia, and confirms its commitment to supply its global customers locally. With this latest investment plan, Arkema continues to reinforce its specialty polyamide business in all three major global regions - Europe, North America and now Asia.

This investment, which represents several tens of millions of euros, will support the strong demand in growth applications, such as cable protection, lightweighting (metal replacement) in automobiles, improved high performance sports shoes (running, soccer, etc.) and evolving applications in the consumer electronics segment. The mid-term growth rates in these applications are expected to exceed 7% per year in Asia.

"This project announcement is the latest of several major investments in specialty polyamides in Asia to support the momentum of our advanced materials offer in the region" said Julie Zhang, Regional President of Arkema's Technical Polymers business in Asia. "It's energizing for our customers to see how quickly we are evolving into a local sourcing supplier, into a world-class manufacturing presence in Asia with R&D and service to match."

The project further underlines the Group's strategy to significantly step up the development of its advanced materials, which should eventually account for over 25% of sales by 2023, while continuing to further consolidate its presence in Asia.

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