Canadian Plastics

Covestro to build its largest TPU site in China

Canadian Plastics   


To be completed in 2033, the facility will have an annual capacity of 120,000 tons of TPU per year after final phase of expansion.

Photo Credit: Covestro AG

German chemical supplier Covestro AG has announced plans to build its largest thermoplastic polyurethanes (TPU) site in Zhuhai, China.

With an overall investment in the low three-digit million Euro range, Covestro officials said in a Feb. 23 news release, it will also be the company’s largest investment in its TPU business.

“This investment shows our ongoing commitment to growth in our Solutions & Specialties business entities”, said Covestro CCO Sucheta Govil. “With this new plant for TPU we want to capture the expected fast and high market growth of the TPU market globally, and especially in Asia and China. The production site will be able to serve both the growing Asian markets, as well as demand in Europe and North America.”

Located in the Zhuhai Gaolan Port Economic Development Zone in Guangdong province, the new site will eventually span across 45,000 square meters. Scheduled for completion by 2033, it is expected to achieve a production capacity of nearly 120,000 tons of TPU per year. It will be built in three phases. The mechanical completion of the first phase is estimated for the end of 2025. This will lead to a production capacity of about 30,000 tons per year and the creation of about 80 new jobs. The initial investment for this phase lies in the mid double-digit million Euro range.


An innovation centre will also be part of the investment, Covestro officials said, enabling researchers on-site to design customized material formulas.

Additionally, the site will be run on 100 per cent green power, and will produce injection molding grades for footwear and a wide range of IT devices, as well as extrusion grades for cables, hoses and tubes or automotive applications.


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