Clariant commences construction of new plant in Yanbu

Swiss speciality chemicals firm Clariant has started construction work on its masterbatch production unit in Yanbu, Saudi Arabia. The new manufacturing site belongs to Clariant Masterbatches Saudi Arabia, a joint venture of Clariant and Rowad National Plastic Company Ltd., a subsidiary of Tasnee, one of the largest industrial conglomerates in Saudi Arabia.

The new site will be constructed on a 38 000-sq-m property in Yanbu Industrial Zone 2 and is expected to be commissioned by early 2017. The plant, which will focus on the production of white masterbatches, will be the second manufacturing hub for Clariant Masterbatches in Saudi Arabia. The company also has manufacturing sites in Riyadh. The project is one of the most important investments for Business Unit Masterbatches (BU MB) in recent years.

“The joint investment with Rowad is in line with our strategy to further strengthen our position in one of the important markets for plastic applications”, said Hariolf Kottmann, CEO of Clariant.

Yanbu is an industrial city located on the Red Sea about 350 km north of Jeddah. It has a population of almost 200 000 and is home to 32 major hydrocarbon, petrochemical, and mineral industry sectors. The new Clariant site will have easy access to key raw materials as well as sea and air port facilities that will open export opportunities to target markets in the region.

“Building this world-scale plant is a logical next step in our relationship with Rowad/Tasnee, our JV partner since August 2013,” said Marco Cenisio, Head of Business Unit Masterbatches. “It will allow us to offer a broader product portfolio to customers in the Kingdom and in the Middle East/Africa region.”

Ossamah Elshebany, General Manager of Rowad National Plastic Co., added: “We are pleased to celebrate the start of this new project. The additional capabilities will be important in growing and extending our market share in this region’s downstream plastics industry.