30 July 2013 09:23 [Source: ICIS news]
SINGAPORE(ICIS)--BASF will invest €90m ($120m) to construct a new plant in Shanghai, China, that will produce high performance resins and electrocoat (e-coat), the German chemicals major said on Tuesday.
The plant, which will be built adjacent to BASF’s automotive coatings plant at the Shanghai Industry Park that broke ground early this year, is expected to start production in the second half of 2015, the company said in a statement.
“The close proximity of these two plants will allow for more synergies and efficiency,” BASF said.
Resin is a key intermediate used in the production of various types of coatings, while e-coat is a critical coating layer in automotive production, protecting a car’s surfaces, edges and cavities from corrosion, as well as being the base for applying subsequent paint layers, the company said.
“The [new resin and e-coat] plant will help to address the increasing demand for high quality coatings solutions in growing industries, notably the automotive industry, in Asia Pacific,” BASF said.
($1 = €0.75)
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