By: Frank Esposito
October 14, 2013
Global styrenics leader Styrolution Group GmbH and Brazilian petrochemicals giant Braskem SA are forming a joint venture to build a new plant making ABS and related resins in Brazil.
The plant would have annual capacity of about 220 milliion pounds for ABS, styrene acrylonitrile (SAN) and specialty styrenics, officials with both companies said in an Oct. 14 news release.
Frankfurt, Germany-based Styrolution would own 70 percent of the proposed JV, with São Paulo-based Braskem owning the remainder. Groundbreaking for the proposed plant could begin as early as 2015, with production launching in 2017.
The proposed JV "ticks all the boxes" of a new Styrolution strategy that calls for expanding the firm's footprint in emerging markets, growing its specialty styrenics business and focusing on select high-growth industries, CEO Roberto Gualdoni said in the release.
The partnership "would be an important step towards strengthening the petrochemical sector in Brazil," Braskem CEO Carlos Fadigas added.