Sabic finally breaks ground on China tech center

By Robert Grace
Associate Publisher & Business Development Director

Published: April 23, 2012 6:00 am ET

Related to this story

Topics Materials, Design

SHANGHAI (April 23, 2:45 p.m. ET) — Saudi Basic Industries Corp. on April 6 broke ground on its long-planned, $100 million technology center in China, and separately announced that its Sabic Innovative Plastics unit is adding new production lines for the company’s Lexan-brand polycarbonate resins and films in Shanghai and Nansha, China.

Sabic will build the 645,000-square-foot (60,000-square-meter) technology center in Kangqiao, east of Shanghai. It will house some 400 employees who will relocate to this new facility when completed in 2013.

In addition to commercial and corporate function staff, the center will be home to a research and development team of more than 200 scientists and engineers who will focus on advanced engineering plastics materials for a range of end-use applications. The facility also will feature a China Automotive Innovation Hub to drive next-generation materials development for that fast-growing sector.

Sabic essentially began planning for such a new center since it acquired GE Plastics for $11.6 billion in 2007. The Saudi conglomerate has been leasing space within General Electric Corp.’s large Shanghai technical and applications development center since that deal, but recognized the need to build its own such facility in China.

Sabic Chairman Prince Saud bin Abdullah bin Thenayan Al-Saud, who also is chairman of the Royal Commission for Jubail and Yanbu, presided over the recent groundbreaking ceremony, which was attended by more than 200 people. Prince Saud said: “Material sustainability is key to the creation of new applications across industries. With the new technology center, Sabic brings to China its global expertise and experience in petrochemical research and production helping enterprises create new possibilities in the design of products for local and global markets.”

The company said the center will be built with the highest global green standards, in line with the guidance by the Leadership in Energy and Environment Design (LEED) gold certification. Adherence to these standards will ensure the facility is designed and built to achieve high performance in such areas as sustainable site development water savings, energy efficiency, materials selection and indoor environmental quality.

Meanwhile, Sabic Innovative Plastics announced April 18 that it will add dedicated compounding production lines of its Lexan PC resin at its Shanghai facility in early 2012. It said this capacity increase “will ensure ample, reliable supplies of Lexan resins and Lexan specialty copolymers to help drive Asian customer growth.” This addition comes on the heels of a similar Lexan compounding expansion in Nansha in late 2010. Sabic IP does not reveal production capacity information.

Additionally, Sabic IP said it plans to install additional capacity for Lexan optical-quality polycarbonate and textured film products in Asia in 2012-14, after starting up a new extrusion line for such products in a class 1,000 clean room at its Nansha facility in the first quarter of 2011. The firm said this capacity will address accelerating market demand for high-end film in consumer electronics, automotive and security segments where these materials are widely used in applications such as automotive navigational display units; notebook PCs; monitors; and liquid crystal display/light emitting diode (LCD/LED) televisions.

Saudi Basic Industries Corp. ranks among the world’s top petrochemical companies and is a global leader in the production of polyethylene, polypropylene and advanced thermoplastics. It operates in more than 40 countries with 33,000 employees, and recorded a net income of 21.59 billion Saudi riyals ($5.73 billion) in 2010, with sales revenues totaling SR 152 billion ($40.5 billion).

Today, Innovative Plastics is a multibillion-dollar company with operations in more than 35 countries and approximately 9,000 employees worldwide.


Comments

Sabic finally breaks ground on China tech center

By Robert Grace
Associate Publisher & Business Development Director

Published: April 23, 2012 6:00 am ET

Post Your Comments


Back to story


More stories

Image

'Thermoforming has nearly limitless possibilities'

April 18, 2014 12:54 pm ET

Julie McAlindon of PolyOne Corp. speaks about the future of thermoforming and the integration of Spartech Corp.    More

Image

Ascend targets nylon for auto applications, opening propylene monomer unit in Texas

April 18, 2014 10:57 am ET

Materials firm Ascend Performance Materials Inc. is in full operation at its new nylon 6/6 compounding line in Florida and will break ground by the...    More

Dutch company launching $100 million PP, PE recycling plant

April 18, 2014 10:42 am ET

Quality Circular Polymers is building a new plastics recycling operation in Geleen, the Netherlands' Chemelot industrial chemical site, with a...    More

Lumena suspends trading, delays report amid claims of 'misrepresenting' financials

April 18, 2014 10:19 am ET

China Lumena New Materials Corp., which says it has the world's largest manufacturing capacity for polyphenylene sulfide resin, has suspended its...    More

PolyQuest spins off FiberQuest unit

April 18, 2014 10:14 am ET

PolyQuest Inc. has spun off its FiberQuest unit — which distributes polyester staple fibers and cotton — as a separate company.    More

Market Reports

Thermoformed Packaging 2014 Market Review & Outlook North America

This in-depth report provides analysis and discussions of economic and political conditions, market trends, legislative/regulatory activity impacting supply and demand, business opportunities and threats, materials pricing, manufacturing technology, as well as strategies being implemented by thermoformed packaging companies. In addition, there are reviews of 25 leading thermoformers in the packaging segment, assessing their growth initiatives and performance metrics over 10 years.

Learn more

Automotive Market Review and Outlook 2014 The Americas

This 75-page report features in-depth analysis of the automotive industry for the Americas. It includes discussions of market trends, legislative/regulatory activity impacting production and threats as well as design strategies being implemented by the major automakers. Detailed charts and data tables outline North American automotive production over the last five years.

Learn more

Plastics Building & Construction Market Review and Outlook 2014 with MS Excel chart data

This report provides in-depth analysis of the plastic building and construction market for North America, including discussions of trends, opportunities, threats and the latest developments in construction trends that impact plastics processors.

Learn more

Upcoming Plastics News Events

May 6, 2014 - May 8, 2014Plastics in Medical Devices 2014

May 12, 2014 - May 12, 2014Plastics News Brazil Pharma Summit

September 10, 2014 - September 12, 2014Plastics Caps & Closures 2014

February 3, 2015 - February 7, 2015Plastics News Executive Forum 2015

More Events