Owens Corning reports booming sales in China

By Nina Ying Sun
Assistant Managing Editor

Published: June 12, 2014 3:22 pm ET
Updated: June 16, 2014 12:23 pm ET

Image By: Owens Corning Corp. Yao Fangdi, Owens Corning composite solutions business China managing director

Related to this story

Topics Materials, Materials Suppliers, China
Companies & Associations Owens Corning

SHANGHAI — Even for a fast-growing market like China, 100 percent annual growth is an impressive number.

That’s the magic number for Owens Corning Corp.’s 2013 sales of long-fiber-reinforced-thermoplastic (LFT) products in China, according to Yao Fangdi, China managing director for Owens Corning's composite solutions business.

"We expect to double our LFT sales again this year,” he told Plastics News in an interview in the leading glass fiber supplier’s Shanghai office.

At Chinaplas, the company touted its Performax SE4849 roving for LFT-polypropylene, which offers opportunities to replace traditional metals in complex and often challenging structural and semi-structural automotive components.

China’s thermoplastic composite market is expanding by about 30 percent per annum, Yao estimated, while the overall composites market records a mere 3-5 percent annual growth.

As a main end-market for LFT, the automotive industry in China continues to deliver strong growth. The industry’s expanded efforts in weight reduction, fueled by the public’s rising concern of air pollution, are helping thermoplastic composites to speed up market penetration.

An average car today uses at least 10 kilograms of LFT materials, Yao said. But a high-end car can contain four times, as the market adapts quickly to using the material in structural components.

Having established production in China since 2007, Owens Corning currently has the capacity to serve local customers’ needs from plants in Yuhang (Zhejiang province) and Doudian (Beijing).

Like many other industries in China, the glass fiber industry has also been suffering from overcapacity, which leads to lower prices and inventory buildup.

Capacity expansion has slowed down, and some plants are being renovated, which decreases output for the time being, Yao said.

The key issue is to adjust and rationalize the existing capacity, converting thermoset composite capacity to thermoplastic composite capacity, he added. At present, Owens Corning is the only profitable glass fiber maker in China, he claimed.

The company’s China R&D has been focusing on application development and localization. “Our team here serves to meet customers’ specific needs by tailoring materials as well as helping them with the process,” Yao said.

Some global customer actually exports LFT parts that are made in China to Europe.

The Asia Pacific region will continue to be the growth driver of the global composite market, he noted.


Comments

Owens Corning reports booming sales in China

By Nina Ying Sun
Assistant Managing Editor

Published: June 12, 2014 3:22 pm ET
Updated: June 16, 2014 12:23 pm ET

Post Your Comments


Back to story


More stories

Unipex Group buys Ferguson Chemical Innovation

July 29, 2014 1:57 pm ET

Chemical distributor Unipex Group Inc. announced July 29 that it had purchased Ferguson Chemical Innovation, a Brampton, Ontario-based supplier of...    More

Image

Magna expanding interiors site in Slovakia

July 29, 2014 1:47 pm ET

Magna International Inc. plans to nearly double the size of its manufacturing facility in Trnava, in western Slovakia, to accommodate new automotive...    More

Image

Carbon black supplier Orion begins trading on NYSE

July 29, 2014 11:29 am ET

Orion Engineered Carbons S.a.r.l. has priced the initial public offering of 19.5 million common shares at a price to the public of $18 per share.    More

Image

Dow sees solid second quarter performance

July 29, 2014 11:19 am ET

Dow Chemical Co. has reported its second quarter figures, with its seventh consecutive quarter of growth, according to the company.More

Image

Evonik sells polyimide foams operation to Boyd

July 29, 2014 10:46 am ET

Modesto, Calif.-based Boyd Corp., a manufacturers of specialty material and sealing agents, has purchased Evonik Industries’ Solimid...    More

Market Reports

Plastics Recyclers Data Report & Directory

This exclusive MS Excel database contains all the companies from Plastics News' ranking of top North American Recyclers and Brokers by reprocessed volume and also includes a directory with materials processes, services offered and company contact information. Data is based on primary research by PN editorial staff.

Learn more

2014 Injection Molding Industry Report

GROWTH, OPPORTUNITY IN SIGHT FOR INJECTION MOLDERS IN 2014

In the wake of the economic turbulence earlier in this decade, molders today find themselves in much better shape. Molders are gaining a competitive advantage by investing in people, equipment and seeking inroads into new markets on a global scale.

Growth in the injection molding industry is going to be driven by low financing costs and a continued move to reshore some business.

Learn more

Shale Gas Market - Analysis of North American Region

This report highlights the impact of shale-based natural gas on the North American plastics market and features an in-depth analysis of production trends in the United States during 2013 and a forecast for 2014 and beyond.

Learn more

Upcoming Plastics News Events

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

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

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

More Events