Chemtura opens lubricant/urethanes facility in China

Supporting its commitment to customers in China and the Asia Pacific region, US-based speciality chemicals firm Chemtura Corporation has opened a new multi-purpose manufacturing facility in the Nantong Economic and Technological Development Area.

“Chemtura aims to create value for customers and other stakeholders by supporting its business growth with increased manufacturing capacity in faster-growing regions,” said Craig A. Rogerson, Chemtura Chairman, President/CEO. “The completion and opening of our Nantong facility underscores this commitment and allows us to work closer with customers, bring them innovative solutions, and help them to be more competitive and successful.”

The facility, located in Jiangsu Province 80 miles northwest of Shanghai, will consist of three production units supporting Chemtura’s Industrial Performance Products segment, which includes petroleum additive and urethane products. Rogerson said, “It is our intention and hope that this will also be the footprint that the other businesses in our portfolio will use when they come into the region.”

The petroleum additives business requires local manufacturing and storage capabilities for some of its product lines in order to meet customer demand. These include synthetic finished fluids (refrigeration lubricants, air compressor lubricants and gear oils) and calcium sulphonate complex grease.

“Local manufacturing capacity for synthetic lubricants is required for the business to respond to the market’s demand for shorter lead times,” said Simon Medley, Senior Vice President of Industrial Performance Products. “Installation of grease capacity in China provides Chemtura’s customers with a more secure global supply capability, and places capacity in the region with the highest growth rate.”

The first unit began producing calcium sulphonate grease in August, with production ramping up to commercial scale in the fourth quarter this year.

Growth in the urethanes division, including its low-free (LF) prepolymer urethanes, is driven by the commercialisation of Chemtura’s Adiprene Duracast product line coupled with increasing global and regional demand for its LF products. Additional LF prepolymer manufacturing capacity in China will allow Chemtura to continue to grow its most advanced product lines and places capacity in a region with strong demand growth.

The new plant features administrative and maintenance buildings, utilities, a centralised control room, and quality control labs. Construction began in March 2012. This facility, which was approved in 2011, stands as Chemtura’s largest single investment since the company’s formation in 2005 and the central site for manufacturing in Asia-Pacific, specifically in China.

(PRA)

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