BASF and Toray form joint venture for PBT production in Asia

26-Feb-2004

BASF Aktiengesellschaft, Ludwigshafen, Germany, and Toray Industries Inc., Tokyo, Japan, jointly announced that they have agreed to form a 50-50 joint venture for the production of polybutylene terephthalate (PBT) base resin to supply the rapidly growing Asian market for this engineering plastic.

The newly formed company, Toray BASF PBT Resin Sdn. Bhd., will build a world-scale PBT plant with an annual capacity of 60,000 metric tons at BASF's Verbund site in Kuantan, Malaysia. Construction will start middle of this year and the new plant is scheduled to come on stream at the beginning of 2006. The total investment for the plant is approximately US$40 million.

The new plant will be operated with the most advanced polymerization technology from Toray and the main raw material, namely butanediol (BDO) will be procured based on state-of-the-art technology from BASF's subsidiary next-door.

The PBT base resin will be independently marketed by each company under their own trade names (BASF: Ultradur®, Toray: Toraycon®).

"Our main goal is to be the partner of choice for our customers," said Dr. Andreas Kreimeyer, Member of the Board of Executive Directors of BASF Aktiengesellschaft. "With the production of PBT in Asia we show our commitment to Asia and we gain the flexibility and independence to better serve our customers by reacting more quickly to their needs and by ensuring a more stable supply of products."

Toray is the first Japanese company to establish a PBT polymerization plant outside Japan. "This intention shows our commitment to strengthening the global presence of our TORAYCON® PBT resin products," said Mr. Chiaki Tanaka, Member of the Board of Managing Directors of Toray Industries, Inc. Along with the new plant in Malaysia, Toray will set up its supply system in response to the global demand by organizing the PBT division at its ABS resin production site, Toray Plastics Malaysia Sdn. Bhd. (TPM), Penang, Malaysia. The JV will supply PBT base resin to Toray's compound bases worldwide. "Together with the expansion of the company's compound bases, Toray is going to organize the most appropriate worldwide operation system for the highest global competitiveness and expansion of PBT resin business," Mr. Tanaka said.

https://www.chemeurope.com/en/news/35746/basf-and-toray-form-joint-venture-for-pbt-production-in-asia.html