Perstorp, Sweden - European speciality chemicals company Perstorp and Thai group PTT Global Chemical are planning a joint venture to make and sell aromatic and aliphatic isocyanates into the polyurethane industry.
The isocyanates are TDI (toluene diisocyanate) and aliphatic (IPDI, HDI -- isophorone, hexamethylene diisocyanate and derivatives).
The planned joint venture includes the former Perstorp Business Group "Coating Additives" with its manufacturing sites at Pont-de-Claix in France and Freeport in the US. PTT Global Chemical (PTT GC) will have 51 percent of the shares and Perstorp 49 percent.
"We believe in a promising future for polyurethanes. Perstorp's expertise in manufacturing, sales and marketing of isocyanates, coupled with PTT GC's position as a major Asian chemical player provide the JV with a unique opportunity to establish leading positions in the worldwide polyurethane market," said Veerasak Kositpaisal PTT Global Chemical ceo and Martin Lundin, Perstorp president and ceo, in a Perstorp statement.
According to a Perstorp announcement, the joint venture will invest in new manufacturing capacities and facilities to capitalise on the fast-growing polyurethane market. In addition, the JV plans to invest further in R&D and improve operational efficiency.
The JV "will provide a key strategic entry point for PTTGC to further diversify its product portfolio in specialty chemicals. Development of a diversified product portfolio is a clear strategy for PTTGC to become a market leader in the specialty chemicals business," said Vanchai Tadadoltip PTT Global Chemical executive vice president of Specialty Chemicals Business Unit.
Isocyanates are used as hardeners in coatings and as a raw material in elastomers and foam products.
TDI is a key material for flexible foam, used for making mattresses, bedding, seating and packaging.
HDI & derivatives find major market applications in automotive (OEM & refinish), industrial maintenance, plastic & wood coatings, transportation, aerospace, coil & can coatings, leather finishing and adhesives.
Perstorp said the formation of the joint venture is subject to employee consultations in accordance with national legislations.
PTT Global Chemical is Thailand's largest chemical producer and the chemical flagship of PTT Group The company's value chain consists of upstream business with petrochemical capacity of 8.2 million tonnes per year and petroleum products capacity of 228 000 barrels per day.