Yantai, Shandong – Polyurethane elastane and aramid maker Yantai Tayho Advanced Materials and Wanhua Energy Saving Technology are planning to acquire PU elastane facilities in Midwest China’s Yinchuan, Ningxia province.
According to Tayho’s announcements on the Shenzhen Stock Exchange on December 8, a joint venture, Ningxia Tayho, will be set up in Yinchuan’s Ningdong township, a chemical hub. Ningxia Tayho will take over all polyurethane elastane assets of the local company Ningxia Yuehua New Material.
Local reports peg Yuehua’s current polyurethane elastane capacity at 30kT/year, with another 30kT/year project in the pipeline.
‘A number of smaller polyurethane elastane companies are facing shutdown or merger, and significant changes are expected in the sector’s future landscape with a few bellwethers gaining increasing capacity,’ said one Tayho announcement.