Sakai, Japan – Covestro has increased its stake in the TPU joint venture with DIC in Japan, and now owns 80%.
Covestro continues TPU expansion with bigger DIC stake
The DIC-Covestro joint venture was formed in 2000 between Dainippon Ink & Chemicals and Bayer. The further investment 'sums up to a low double-digit million EUR investment.' The partners declined to be more specific.
Covestro said that globally, the TPU business accounts for about 10% of the sales in its Coatings, Adhesives and Specialties business. It also claims to be 'globally, a top 3 producer of TPU.'
Meanwhile, the TPU business is growing at around 6%/year over the long term, the German company added. It continued: 'Covestro outgrew the industry with double-digit core volume growth/year over the past three years.'
The firm added that it is part of its recent 25% increases in TPU capacities at New Martinsville, and Changhua, Taiwan.
DIC will continue with marketing, sales support, production, research and development in Japan.