AkzoNobel opens its largest technology centre in China

AkzoNobel has inaugurated its new EUR6.5 million technology centre in Songjiang, Shanghai. The company's largest research facility in China, it will support product innovation and the development of next-generation paints, coatings and speciality chemicals.

Equipped with a full array of material analysis and performance testing facilities, the centre currently employs 150 scientists, which is expected to rise to 200 by 2020. The majority of the products supported by the new facility will be waterborne and powder-based, in line with the company's ambitions to develop more eco-premium solutions.

"Innovation and locally developed products and solutions are critical to ensuring that we continue to create everyday essentials that make people's lives more liveable and inspiring," said Klaas Kruithof, RD&I Director of AkzoNobel's Performance Coatings business. "The opening of this new technology centre marks another milestone in the company's organic growth strategy, as we continue to drive our innovation agenda and build a resilient portfolio of more sustainable products."

AkzoNobel invested a total of EUR347 million in research and development during 2015, with a strong focus on sustainability. The company is also looking to increase its revenue from downstream eco-premium solutions to 20% of revenue by 2020. In China, it has already reached 30%.

"A key strength of our new technology center is that it is focused on all the company's paints and coatings activities," added Roger Jakeman, RD&I Director of AkzoNobel Decorative Paints. "This offers major advantages in terms of synergies, efficiency benefits and creating additional value for customers."

Commenting on the inauguration of the new facility - an expansion of an existing AkzoNobel research centre in Songjiang - Dr. Lin Liangqi, President of AkzoNobel China and Managing Director of the company's Decorative Paints business in China and North Asia, added: "China accounts for between 10 and 15% of global RD&I investment annually. With Asia, and especially China, upgrading its manufacturing industry protocols, innovative solutions with strong sustainability features will be key to future success. The new center will therefore play a vital role in supporting manufacturing, as well as future markets, such as solar and wind power."

AkzoNobel employs over 7,500 people in China (including 500 in RD&I), while revenue in China totaled EUR1.8 billion in 2015. The company operates more than 30 production sites across the country, with RD&I resources allocated to 26 of them to support local customers.