LTL Color Compounders Inc. is building a plant in China to supply customers locating in Asia.
The Morrisville, Pa., company is building a 67,000-square-foot plant in Dongguan, China, said LTL national sales manager Paul Zema. The new operation is due for completion in April, Zema said in a telephone interview.
LTL China will begin with two twin-screw extrusion lines with total annual capacity of 8 million pounds. Zema said LTL expects to add four extruders within two years. He said the project has a multimillion-dollar price tag, but he would not disclose a precise budget. Although the plant will be a stand-alone operation with its own general manager, it will work closely with the Morrisville head office.
Zema said the new plant's main geographic market will be in regions surrounding Shanghai, China; Vietnam and Singapore. In a few years, LTL will scout a possible second compounding plant location in the region.
In a separate development, DuPont Packaging & Industrial Polymers sold an exclusive worldwide license for its Surlyn Reflection Series resin to LTL. The material is an alloy of Surlyn ionomer resin and nylon 6 used mainly to injection mold durable and weatherable aesthetic parts. LTL assumed full business responsibility Oct. 1.
LTL has extensive experience compounding Surlyn Reflection for electronics, medical, business machine, automotive and telecommunications markets. LTL will make the products in Morrisville and in its new China plant, said LTL general manager Jim Figaniak in a news release.
LTL's products are geared to engineering applications and include color and additive compounds based on polycarbonate, ABS, PC/ABS, nylon, and a range of specialty compounds and alloys. LTL, established in 1990, grew into its current 70,000-square-foot plant in Morrisville in 2000. It eventually plans to double its manufacturing space.