Polyolefins supplier Borouge has inked a deal with local government to build a compounding plant in the Nansha district of Guangdong province — the firm's second plant in China.
Construction will be completed by mid 2012, giving the plant capacity to compound about 230 million pounds of polypropylene a year, the firm said May 28.
Abu Dhabi-based Borouge launched a compounding plant in Shanghai in April and is putting a research and development center there as well.
The Nansha factory will produce tailor-made compounds to nearby customers in the rapidly growing automotive and appliance industries.
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