Tianjin, China - BASF broke ground 20 April on construction of its new polyurethane systems house in Tianjin, China, further expanding its global service and production network. The new facility is in the Tianjin Economic-Technological Development Area (Hangu Modern Industrial Zone), covering 3.4 hectares.
From the new system house, BASF said, it will offer customised polyurethane solutions to its customers, supported by local production, in-house sales, technical service and development teams.
The plant is expected to start up in 2012 and will join to BASF's comprehensive and unrivalled worldwide network which currently includes 38 system houses.
"The Northern China region is witnessing a thriving PU market with above-average growth rates and considerable increases in production and demand in the years to come," said Dr Melanie Maas-Brunner, senior vice president of polyurethanes in Asia Pacific, in BASF's company statement.
"Tianjin is at the heart of the boom and this strategically located, new systems house is clear proof of our commitment to the China market," added Maas-Brunner, noting that it further boosts BASF's capacity to provide sustainable, energy-efficient PU solutions to serve rapidly growing sectors such as construction and automotive, as well as emerging markets for renewable energy such as wind and solar energy.
China is already the largest polyurethane market in the world and is forecast to maintain strong growth in the coming decade, noted BASF. The company says it is "positioned to lead the market with its planned systems houses in Chongqing, along with two current systems houses and regional development centres in Shanghai and Nansha.
BASF's polyurethanes network is supported in China by production sites for PU basic materials, including TDI (toluene diisocyanate) and MDI (methylene diphenyl diisocyanate) production site in Caojing, Shanghai and its newly approved MDI plant and planned systems house in Chongqing.
"The investments we are making in these sites will serve to foster and facilitate the development of an environmentally-friendly, resource-conserving eco-city like Tianjin," continued Mass-Brunner.
PIC: Maas-Brunner with Wang Zhiping, vice mayor of Tianjin Municipal People's Government at the ceremony.