GE Plastics plans to invest nearly half a billion dollars to expand polycarbonate capacity in Cartagena, Spain, and create one of the world's biggest manufacturing centers of engineering plastics.
Meanwhile, the Pittsfield, Mass.-based resin supplier said it also is studying other investment opportunities in parts of Asia.
The company already operates an 88.2 million-pound-per-year compounding plant at its Cartagena site, and expects in 1998 to start up a new 286 million-pound-per-year PC resin production facility now under construction there.
GE Plastics has confirmed a July announcement by the Spanish government that the company plans a third phase of development.
That project will comprise expanding the first PC production plant at a cost of 16,000 pesetas ($105.8 million) and constructing a new $363 million PC resin plant on the site.
GE Plastics did not provide any capacity numbers for the expansion and second PC production facility. Neither has the company decided on an exact schedule for the third phase of the expansion, according to a spokeswoman at the firm's European base in Bergen-op-Zoom, the Netherlands.
The company has said that it plans to target output from the new facilities largely at export markets.
The Spanish government issued its statement following a visit to the country by GE Plastics President and Chief Executive Officer Gary L. Rogers, who was there to meet representatives of the national and provincial governments.
The government statement made it clear that timing of the new investment will depend on worldwide demand for engineering plastics.
Based on the present demand forecast, the new capacity will be required in the next five to seven years.