31 March 1997 00:00 [Source: ACN]
MITSUBISHI Chemical's US subsidiary Aristech Chemical Corp has formed a business alliance with Austrian PP producer PCD Polymere. Aristech will manufacture and sell in the US speciality grades of PP licensed by PCD, while the OMV subsidiary will produce and sell products developed by Aristech in the European market.
The move gives Mitsubishi access to the European market just as many of its downstream automotive customers for speciality PP grades are stepping up sales activity in the region. PCD has been seeking alliances for its polyolefins activities for some years, and at one stage was discussing strategic PE joint ventures with Hüls and Hoechst.
Aristech has also confirmed it has begun preliminary engineering on a 235 000 tonne/year PP line at LaPorte, Texas, lifting its total US capacity to 620 000 tonne/year. PCD is also in the engineering phase for a 200 000 tonne/year expansion which will lift its production in Austria to 605 000 tonne/year.
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