Lanxess expanding compounding capability in China

In a bid to boost its presence in China, Germany-based material supplier Lanxess is investing 20 million euros (US$24 million) to build compounding plants for its Durethan polyamide, and Pocan polybutylene terephthalate (PBT) and polyethylene terephthalate (PET) compounds.

An artist’s rendering of the new facility.

The facility, to be located in the city of Changzhou, will have annual capacity of 25,000 tonnes and is scheduled to begin production in the second quarter of 2019. It will primarily serve users in the automotive sector and the electric and electronics industry.

“China is the largest automotive market in the world and is setting the pace for electromobility. We want to support growth in this important region and are expanding our presence in the high-performance plastic segment,” said Matthias Zachert, chairman of the Lanxess Board of Management.

The automotive industry is the most important customer for Lanxess’ high-performance plastics, Zachert continued. The materials allow the construction of components to replace metal parts in motor vehicles and thus contribute to reducing weight, fuel consumption and emissions. Lanxess plastics are used, for example, in engine applications, door structures, pedals, front ends and cockpit cross members. Depending on the part, the lightweight construction can make a weight-saving of up to 50 per cent.

Lanxess already operates a plant for engineering plastic compounds in Wuxi, China.