08 August 2013 11:47 [Source: ICIS news]
TOKYO (ICIS)--Japanese chemical producer Asahi Kasei Chemicals has begun production of polyamide 66 compounds in West Java, Indonesia, early in August due to an expected increase in demand for automotive products, the company said on Thursday.
A local producer, Nippisun Indonesia, is producing 4,000 tonnes/year of polyamide 66 resin for Asahi Kasei Chemicals, using its plant at the site, Asahi Kasei Chemicals said in a statement.
Asahi Kasei Plastics (Thailand), Asahi Kasei Chemicals’ subsidiary in Thailand, had been exporting polyamide 66 compounds to Indonesia until recently, Asahi Kasei Chemicals said.
The producer has decided to begin production in Indonesia, instead of importing from Thailand, because demand from Japanese car parts producers in Indonesia is expected to increase, it said.
In Indonesia, car production is estimated to increase to 1.5m units in 2016, compared with 1m units in 2012, according to Asahi Kasei Chemicals.
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