Home / News / LyondellBasell’s new PP compounding plant starts

LyondellBasell's new PP compounding plant starts

26 Sep '17

2 min read

LyondellBasell, a plastics, chemicals and refining company, has announced startup of a new polypropylene (PP) compounding plant in Dalian, China. This is the company's third facility in China, strategically located to serve the region's growing automotive market. The plant will allow the company to serve automotive customers in the North China region.

"With China's automobile market poised for significant growth over the next several years this facility allows us to better serve our customers, reduce shipping time and logistics costs while delivering a strong return for our shareholders," said LyondellBasell CEO Bob Patel. "This plant leverages our global value chain, from polypropylene technology to specialised compounded products, for the benefit of our customers in the region."

LyondellBasell is the largest producer of PP compounds in the world, with 15 wholly owned facilities, including the Dalian plant, and three joint ventures in 12 countries. Currently in China, LyondellBasell operates PP compounding plants in Suzhou and Guangzhou. The addition of the 20 kilotonne per year Dalian plant allows the company's further expansion into the strategically important North China region which is home to a number of major automobile manufacturers including BMW, Daimler, GM, Volkswagen, Audi, Nissan and Chery.

"This plant will supply our customers with the innovative products they need to produce more efficient and comfortable vehicles and allow us to maintain our leadership position in the automotive sector," said Richard Roudeix, LyondellBasell senior vice president, Olefins and Polyolefins, Europe, Asia and International.

Jean Gadbois, LyondellBasell senior vice president, Manufacturing, Europe, Asia and International, added, "Our plants in China use the same process and materials as the plants in other strategic regions to guarantee uniformity of specifications for our global customers."

LyondellBasell's PP compounds are found in almost all modern vehicles and significantly contribute to improved fuel efficiency and the ability of automobile manufacturers to comply with strict environmental standards for car interiors. For example, vehicle weight can be reduced by high-flow materials, allowing a reduction in wall thickness without compromising mechanical properties.

Most recently, in 2015, the company announced the strategic acquisition of SJS Plastiblends and the PP compounding assets of Zylog Plastalloys, making LyondellBasell the third largest producer of PP compounds in India. All LyondellBasell PP compounding plants provide tailor-made solutions allowing automobile parts to meet demanding automotive specifications while providing consistency with global quality standards. (SV)

Fibre2Fashion News Desk – India