Covestro recently announced that it has broken ground on two new plants in Shanghai to meet the rising demand for polyurethane dispersions (PUDs) and elastomers. These new facilities, which represent a combined investment of a mid-double-digit million euro amount, will be located within the Covestro Integrated Site Shanghai.
“These projects will contribute to the high-quality and sustainable development in China and beyond,” said Holly Lei, president of Covestro China. “They will also add to the scale and strength of our Shanghai site, which will be playing a key role in the quest of Covestro to becoming operational climate neutral by 2035.”
The new plant for PUDs as well as a further line for polyester resins (from which PUDs are produced) are due to be completed in 2024. PUDs are used in more environmentally compatible coatings and adhesives for a wide range of applications, including automotive, construction, furniture, footwear, and packaging.
“With the new investment, we will be even better positioned to address the rising demand for more environmentally compatible coatings and adhesives across the globe,” said Zhong Xiaobin, senior vice president of Covestro’s Coatings and Adhesives segment in the Asia-Pacific region. “As one of the global leaders in this segment, we will continue to tap the trend where our customers turn to more sustainable waterborne systems with equally good properties to replace solvent-based products.”
The new facility for polyurethane elastomers, which are widely used in industries ranging from offshore wind to solar energy as well as material handling, is expected to become operational in 2023. Covestro reports that the market for these flexible and durable materials in China and the Asia-Pacific region is growing faster than both gross domestic product and downstream industries.
Visit www.covestro.com to learn more.