Polyolefins supplier Borouge is closing its Hong Kong office, which the company said was needed to maintain its competitiveness in the region.
The activities in Hong Kong will be consolidated with existing sales and marketing offices in the mainland Chinese cities of Guangzhou and Shanghai, where it has an application development center and a $60 million polypropylene compounding plant.
“With this shift, Borouge ensures it maintains business competitiveness in the long run, and remains committed towards serving its growing customer base in Asia North,” the company said in a statement.
Operations in Hong Kong will end by the end of February, the company said.
Borouge, a joint venture owned by Vienna, Austria-based Borealis AG and Abu Dhabi National Oil Co. (ADNOC), said it's been expanding the Guangzhou and Shanghai operations in recent years.
In an interview at the Chinaplas show in May, senior Borouge executives offered a nuanced picture of China's plastics market — a general slowdown and processing companies becoming more selective in resin purchasing, but with Borouge sales still growing.