Polyplastics, Mitsubishi Gas Chemical, Korea Engineering Plastics and Ticona to invest in a new polyacetal plant in China

27-Sep-2002

Tokyo, Kelsterbach, Summit, September 25, 2002 - Polyplastics Co. Ltd., Mitsubishi Gas Chemical Company Inc. (MGC), Korea Engineering plastics Co. Ltd.(KEP) and Ticona, a business of Celanese AG, Frankfurt, jointly announced that they have agreed on the construction of a world-scale 60,000 metric ton polyacetal (POM) facility in China. The project, as approved by the Chinese government, represents an investment of EUR 140 Mio. Work on the new grass roots facility will begin in spring 2003 and the new plant is expected to start operations in the second quarter of 2005. It will be located close to Shanghai in the Economic and Technological Development Area of Nantong, Jiangsu province.

"Key driver for the decision to locate a new POM facility and compounding plant in China is the anticipated market growth rate," said Mr. Motoshi Sawada, Managing Director of Polyplastics. "The current market for polyacetal in China is estimated to be in excess of 100,000t/yr and is expected to grow at above 10 % annually."

The plant will be constructed by the joint venture company, PTM Engineering Plastics (Nantong) Co., Ltd. which was established by the partners, after being granted a certificate of approval by the Department of Foreign Trade and Economic Cooperation of the Jiangsu Provincial Government of China in December 2001. Polyplastics will be the lead company with a majority of the equity and direction over the operations of the venture. MGC, Ticona and KEP will each have significant financial interests in the venture and Ticona's effective ownership will be about 38%.

Acetal copolymer is a polyoxymethylene (POM) with a high crystallinity delivering high strength, stiffness, toughness, and lubricity over a broad range of temperatures and chemical environments. Acetal copolymer can be processed by many conventional means including injection molding, extrusion and rotational casting. Rod and slab stock made from POM can be easily machined. Acetal copolymer is used in a wide range of applications in markets such as Transportation, Industrial, Appliances, Information Technology and Consumer products.

https://www.chemeurope.com/en/news/14367/polyplastics-mitsubishi-gas-chemical-korea-engineering-plastics-and-ticona-to-invest-in-a-new-polyacetal-plant-in-china.html