Zhanjiang, Guangdong – BASF broke ground on its $10 bn verbund site here on 23 November.
When complete it will be BASF’s third largest worldwide following Ludwigshafen, Germany, and Antwerp, Belgium.
The first plants to be built will produce thermoplastic polyurethane (TPU) and engineering plastics. Output is designed for the southern China and Asia markets, for automotive, electronics and new energy vehicles.
‘The smart Verbund site will form a solid foundation for a world-class industrial cluster in Zhanjiang. It will establish stronger business connections between South China and other Asian countries,’ said Stephan Kothrade. Kothrade is president and chairman Greater China, BASF. He was speaking at the commencement ceremony.
BASF has scheduled the first plant to be operational by 2022. This will have with 60kT/year capacity for engineering plastics compounds. When it is fully operational, BASF’s will have capacity to make 290kT/year of these materials in the Asia Pacific region. The whole site is slated to be completed by 2030.
Automated packaging and control systems as well as automated guided vehicles will feature on the site, said the company.
BASF signed the first Memorandum of Understanding for the site in July 2018 and a framework agreement in January 2019. A wholly-owned subsidiary, BASF Integrated Site (Guangdong), has been set up to oversee the operations.