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AkzoNobel to expand MCA capacity in China

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AkzoNobel to expand MCA capacity in China

April 07, 2010 - 19:17
Posted in:

AMSTERDAM, The Netherlands, April 8, 2010 (Press Release) -AkzoNobel has underlined its strategic commitment to investing in high growth markets following the official opening of a plant expansion for the manufacture of monochloroacetic acid (MCA) in China.

The company's Taixing site - which now boasts production capacity of 60,000 MT/year - is the largest of its kind in China. It will help to meet steadily increasing demand for MCA in China, where the market is growing in line with GDP at more than 10 percent annually. MCA is a chemical intermediate which is widely used for the production of agrochemicals, carboxymethylcellulose (CMC), surfactants and a variety of other applications.

"China is pivotal to our global business development and this investment is a clear indication of our commitment to strengthen our positions and ramp up our capabilities in high growth regions," said Rob Frohn, the AkzoNobel Board member responsible for Specialty Chemicals. "As the world's largest supplier of MCA it's crucial that we make resources available to ensure we continue to grow with our customers in key markets."

The Taixing plant - which now has more than double the original design capacity - incorporates state-of-the-art proprietary technologies and best-in-class HSE standards to deliver a superior cost position coupled with the lowest environmental footprint available in the market.

It represents the latest in a series of key developments for AkzoNobel in China. Last year, the company inaugurated a Powder Coatings Technology Center in Ningbo, while in December, the new chelates facility located at the €275 million Ningbo multi-site became operational. The Ningbo site is due to be officially opened in November.

AkzoNobel employs more than 6,000 people in China and generates more than €1 billion annually in revenue.