Lehigh Valley, Pennsylvania - Polyurethane catalyst maker Air Products & Chemicals Inc. has bought all the outstanding shares in its Air Products Shanfeng unit, which is now a wholly-owned Air Products subsidiary in China.
Air Products Shanfeng, with production in Changzhou, Jiangsu Province, East China, "was formed to support the growth of Air Products' triethylenediamine (TEDA) business for the polyurethane foam market in China," said the company in its 18 Oct announcement.
"This market has been growing at more than 10 percent annually in China," the company said, adding that it expects such high growth rates to continue, as China further develops as a global manufacturing centre.
This strategic move is part of Air Products' focus and investment in the performance materials business in China, the company said, and is "a logical progression to support our business growth," commented Patrick Loughlin, vice president and general manager, Performance Materials, Air Products Asia, in the company statement.
The TEDA catalyst for polyurethane foam is used in products including automotive seating, furniture, insulation materials, shoe soles and construction, Air Products points out.
In China, the ban of chlorofluorocarbons (CFCs) as blowing agents in buildings by the China Ministry of Construction in July this year has "further boosted the use of polyurethane in the construction and spray foam markets in China," the company added.
Air Products makes Dabco PT amine catalysts and an LK range of non-silicone surfactants for non-CFC spray foam at Changzhou.
The unit's name will be changed to Air Products and Chemicals (Changzhou) Co. Ltd.
The operation was set up in 2005 as a joint venture with leading local chemical supplier Changzhou Shanfeng Chemical Industry Co Ltd.
In future, TEDA made at Changzhou will come under Air Products' Dabco global brand for the material, the company said. epw