ESSEN, GERMANY (July 5, 10:40 a.m. ET) — Evonik Industries AG has chosen Singapore as the location for its new nylon 12 resin plant.
The plant is expected to begin production in 2014 with almost 45 million pounds of annual capacity. Officials with Essen, Germany-based Evonik said in a July 4 news release that the new plant will bring the firm closer to its customers in Asia's fast-growing markets.
They added that the plant is needed to handle rising demand for nylon 12 in the automotive, electrical/electronic, household equipment, sports equipment and manufacturing markets. New nylon 12 applications have targeted markets for solar power and oil and gas production.
The announcement comes as Evonik works to recover from a fatal explosion and fire that took place March 31 at a plant in Marl, Germany. The accident resulted in two deaths and led to severe tightness for supplies of cyclododecatriene (CDT), a key feedstock needed to make nylon 12. Companies throughout the automotive supply chain scrambled to find potential replacements for nylon 12.
In the release, officials said that the damaged CDT plant in Marl should be up and running again in the fourth quarter of 2012.
Evonik has annual sales of almost $19 billion. The firm employs more than 33,000 worldwide.