Lanxess adding plastics compounding plant in Brazil

Bob Moser
PLASTICS NEWS

Published: May 21, 2013 12:56 pm ET

Related to this story

Topics Materials, Materials Suppliers, Latin America

SÃO PAULO, BRAZIL — German specialty chemicals and plastics maker Lanxess AG will open its seventh factory in Brazil by the end of this year or early 2014. The facility, in Porto Feliz, will include a mega-extruder to make nylon and polybutylene terephthalate compounds.

"Automotives is the high-growth sector in Brazil, more and more global [manufacturers] are building new factories here," said Andreas M. Scheurell, the company's LATAM general manager, in an interview at Feiplastic in São Paulo.

Major automakers are also pushing more uniformity across their global platforms, creating a greater need for global suppliers like Lanxess, he added.

The new plant will make compounds at very high volumes that are tailored to specific needs from the Brazilian and Latin American auto industries. Investment details for the new Brazilian plant were not shared.

Lanxess is making a large bet on the future of this segment, producing engineering compounds already in Germany, China, India and the United States. The group expects plastics to replace metal in cars to reduce weight, a shift Brazilian automakers are expected to make over the next few years to comply with higher national fuel economy standards.

Brazil accounts for about 10 percent of Lanxess' global sales, which closed 2012 with 9.1 billion euros ($11.7 billion).

Lanxess' facility in Porto Feliz already produces inorganic pigments from iron oxide for the construction industry, as well as paints, plastics and bladders for tire manufacturing. The tire bladder unit was officially inaugurated in May, in which $12.3 million was invested to produce 170,000 units per year.

In addition to two plants in Porto Feliz, the group has a synthetic rubber unit in Cabo de Santo Agostinho; two rubber plants in Triunfo; and a rubber plant in Duque de Caxias. The company announced a $103 million investment in March to turn one of the Triunfo plants into a producer of high-performance rubber for "green" tires.


Comments

Lanxess adding plastics compounding plant in Brazil

Bob Moser
PLASTICS NEWS

Published: May 21, 2013 12:56 pm ET

Post Your Comments


Back to story


More stories

Image

Ferro sells another piece of its plastics business

December 19, 2014 3:33 pm ET

Ferro Corp. has sold its North American polymer additives business to a private equity firm for $154 million in cash.    More

Image

Antimicrobial polymers firm TiFiber launching pilot production in Ark.

December 19, 2014 10:58 am ET

TiFiber Inc., which makes synthetic compounds to control dangerous microorganisms, will locate a pilot production facility and its future company...    More

Image

Patel named LyondellBasell CEO

December 19, 2014 9:56 am ET

Bhavesh V. “Bob” Patel has been named CEO of Houston-based polyolefins producer LyondellBasell Industries NV, effective Jan. 12.    More

Image

Momentive to get a new name in January

December 19, 2014 9:45 am ET

Momentive Specialty Chemicals Inc. will change its name to Hexion Inc., effective Jan. 15.    More

Image

Thailand's SCG Chemicals buying Norwegian chemical firm Norner

December 19, 2014 9:11 am ET

Thailand's SCG Chemicals Co. Ltd. has announced it has acquired 51 percent of the shares in the independent petrochemical company Norner Holding AS fr...    More

Market Reports

Flexible Packaging Trends in North America

Our latest RESEARCH report examines trends in FLEXIBLE PACKAGING impacting the North American market including a review of economic conditions, key drivers of growth, materials pricing, M&A activity, sustainability challenges and the outlook for 2015.

Learn more

Plastics in Brazil - State of the Industry Report

This in-depth report examines the Brazilian plastics industry from a historical and geographical context. Our analysts provide insight on economic trends and forecasts, growing manufacturing sectors that utilize plastics, private investment opportunities, market environment challenges, and innovations in R&D.

Data tables and charts on producer prices, trade, plastics production and end market indicators is also included.

Learn more

Plastics Recycling Trends in North America

This report is a review and analysis of the North American Plastics Recycling Industry, including key trends and statistics based on 2013 performance. We examine market environment factors, regulatory issues, industry challenges, key drivers and emerging trends in post-consumer and post-industrial recycling.

Learn more

Upcoming Plastics News Events

January 14, 2015 - January 14, 2015Plastics in Automotive

February 4, 2015 - February 6, 2015Plastics News Executive Forum 2015

June 2, 2015 - June 3, 2015Plastics Financial Summit - Chicago 2015

September 16, 2015 - September 18, 2015Plastics Caps & Closures - September 2015

October 27, 2015 - October 29, 2015Plastics Financial Summit - New York - 2015

More Events