Canadian Plastics

Cargill buying Arkema’s epoxides business

Canadian Plastics   

Automotive Materials Sustainability

The acquisition aims to boost Cargill's ability to supply bio-based solutions for plastics, automotive, and other industries.

Cargill, a global food corporation based in Minnetonka, Minnesota, is acquiring Arkema’s epoxides business, which includes a facility located in Blooming Prairie, Minnesota.

The financial terms of the deal have not been disclosed.

In a Sept. 27 news release, Cargill officials said the deal is designed to give it “end-to-end production capabilities” in bio-based plasticizers and polyols with nature-derived alternatives to traditional petroleum-based additives.

“Industrial customers are increasingly searching for solutions made without petrochemicals, especially in consumer applications where potential concerns around toxicity and sustainability continue to grow,” said Kurtis Miller, managing director in Cargill’s bioindustrial business. “Adding this capability will allow us to innovate across the polyol value chain, transforming our vegetable oil into highly functional compounds that bring benefits like flexibility, durability and heat stability to a wide range of industrial products.”


The Blooming Prairie plant specializes in epoxidized vegetable oils. The facility’s epoxide manufacturing process combines soybean oil and other vegetable oils with hydrogen peroxide, resulting in the oxidation of soybean/vegetable oil. These specialty oils, or epoxides, are key components for Cargill’s existing portfolio of bio-based plasticizers and polyols.

With this acquisition, [we] will gain full control of their production process, transforming its commodity soybean oil into epoxides, and ultimately, creating the bio-based plasticizers and polyols used to make a broad range of products that support the conveniences of everyday life, such as shower curtain liners, tiles, carpets and furniture,” Cargill said.

Cargill expects to offer the approximately 45 affected employees of Arkema positions within its bioindustrial business, which in addition to bio-based plasticizers and polymers, also develops nature-derived solutions for construction, power generation, performance chemicals, and binders and adhesives.

The acquisition builds on other recent moves by Cargill to expand its presence in the bioindustrial space, including its recent partnerships to build a bio-butanediol facility, its acquisition of specialty beauty ingredient supplier, International Floratechnologies, and, together with its joint venture partner, PTT Global Chemical, develop a greenfield of an integrated NatureWorks facility in Thailand.


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