Massive expansion in polyol capacity under way as Chinese group aims for multinational status
Byline: Liz White
Polyether polyols producer Shandong Bluestar Dongda Chemical Co. is investing RMB 6 billion ($900 million) in a major capacity expansion, building another 200-kilotonnes-per-annum (ktpa) unit to add to its existing polyols capacity of 160 ktpa. This unit is expected to be on stream, in the High-Tech Industrial Zone of Zibo City, Shandong, in the second half of 2012, said Lui Yi, general manager and vice party secretary.
Lui also revealed that the group plans to add a further 150 ktpa in the second half of 2013, to bring its total capacity to 510 ktpa.
“ChemChina’s strategy for the polyols business is to become a major multinational player,” Lui said, adding that, within this strategy, “Our expectation is that within the next five years we will not only be the biggest Chinese producer, but also the biggest in Asia.”
Bluestar Dongda is already the biggest producer of polyether polyols in China, Lui claimed, in a 12 Oct interview at the 2010 conference of the Center for the Polyurethanes Industry, held in conjunction with UTECH North America 2010 in Houston, Texas.
Bluestar Dongda’s strategy is to become a bigger supplier to the PU sector and a mainstream multinational provider, Lui said, indicating that this was one reason for its presence at the UTECH exhibition in the US.
The company’s aim is to sell perhaps 10 or 20 kt of…