By Liz White, UT staffTokyo-Mitsubishi Gas Chemical Co. Inc. (MGC) and Mitsubishi Chemical Corp. (MCC) are to establish a joint venture-called Polyols Asia Co. Ltd-to produce speciality polyols, including neopentyl glycol, trimethylol propane and ester glycol.These polyols are mainly used in coating resins, and to manufacture aqueous polyurethane disperions, UV-cured resins and polyester powder coatings, said a statement from the two groups. These applications have been expanding rapidly, and are expected to continue to grow in the future, the MGC/MCC statement added. MCC will supply butyl aldehyde, while MGC will supply formaldehyde, as starting materials. MGC, which owns polyol production facilities, will be commissioned by the joint venture to produce polyols. All of the polyols produced will be purchased by MGC to sell, said the firms.Ownership of Polyols Asia Co. will be 66:34 MGC:MCC, and expected annual sales are Yen 10 000 million ($88 million). The operation will start-up on 1 Nov 2005. MCG and MCC's new partnership "ensures stable sales of MCC's butyl aldehyde, while enabling MGC to establish an integrated system from purchase of the starting materials to sales of polyols," the statement said. The polyols business will be strengthened both domestically, as well as in the wider global market, the statement concluded."