Mannheim, Germany -- Rhein Chemie GmbH, a plastic additives supplier, is continuing its growth strategy despite reporting sales down by nearly 20 percent to Euro 226 million ($302 million) for the fiscal year 2009, compared to the previous year.
The drop in sales was a result of the global economic crisis and the far-reaching impact it had on the automotive industry, which is a key market for Rhein Chemie, a 23 March company statement said.
Despite the large drop in sales in the first half of the year, an economic revival in Asia, where the share of global sales increased from 24 percent in 2008 to 28 percent in 2009, and a global package of structural and cost measures slowed the decline in the second six months of the year, the Lanxess AG subsidiary said.
"Despite the continuing crisis, we remain committed to our successful business model and to our growth strategy," said Anno Borkowsky, ceo of Rhein Chemie, Mannheim.
Borkowsky said that despite the crisis, the company is pushing ahead with its investment plans in Russia in 2009 and will be breaking ground on a new production facility in Nizhny Novgorod.
In 2008 the company invested Euro 12 million in its Mannheim and Qingdao, China, sites to install new plants for producing polymer-bound rubber chemicals and industrial lubricant additives.
"With these important investments, Rhein Chemie has established a very strong position in all of the strategically important countries," Borkowsky added. (RD)