Covestro recently announced that it will continue production in Tarragona (Spain) beyond 2020. The company will reportedly invest around €200 million (approximately $234.4 million) to increase the cost competitiveness at the site by implementing various measures. As a first step, the company intends to build its own chlorine supply, thus ensuring supply of the raw material.

Covestro will also debottleneck its local methylene diphenyl diisocyanat (MDI) plant, increasing production capacity by 50,000 m t to around 220,000 m t per year.

“We are fully committed to the MDI market and our site in Tarragona. By debottlenecking and establishing our own chlorine supply, this site will become an even more efficient and competitive plant within our network,” said CEO Patrick Thomas.

Debottlenecking will reportedly be carried out through 2022, while the start of chlorine production is planned for the end of 2020. External sources will reportedly supply the operation until 2020. For the new chlorine production, Covestro intends to use state-of-the-art energy efficient technology, thus making the production of key raw materials and subsequently overall production more efficient.

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