AkzoNobel Announces Investment in Tianjin, China

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AMSTERDAM – AkzoNobel is building a new €90 million state-of-the-art facility in the Nangang Chemical Park of the Binhai District in Tianjin, China. The announcement, made during an official signing ceremony with Chinese government officials in Tianjin, involves relocating the company’s existing Tianjin Polymer Chemistry plant.

“This demonstrates our commitment to maintaining our safety leadership position in organic peroxides and fully supporting the growth of our customers in China, Asia and the rest of the world by investing in new capacity,” said Johan Landfors, AkzoNobel Polymer Chemistry Managing Director.

The new site is being built in support of efforts by Chinese authorities to improve safety in the chemical industry, while providing improved manufacturing and quality processes to its customers. It will allow AkzoNobel to expand production units to match the increase in customer demand the company expects in the next five years. In addition, the new plant will utilize state-of-the-art technology that meets new and more stringent safety and environmental standards set forth by the Chinese government.

“This is an important strategic step in maintaining and improving our position in China and supporting the improvements in the safety culture in the Chinese chemicals industry,” said Landfors.

Construction of the new site will start towards the end of 2016 and is expected be operational in late 2018. To meet the anticipated demands of the customers in China, the plant will see capacity increases in all of its production units, including cold and ambient peroxides, thermoset peroxides, and cross-linking peroxides. It is expected that the focus on safety, environmental compliance, cost efficiencies, modern technologies and economies of scale will result in market share growth in the region.

“AkzoNobel has worked closely with Tianjin Economic Development Area to ensure that this relocation project fits with the needs of the city and our business,” said Landfors. “Our company is committed to China and has received strong support from the Tianjin Municipal Government, Beichen District and the Tianjin Economic Development Area to ensure that we have a successful project and business.”