Asia: Germany Bayer to expand Shanghai polycarbonate output 50% in 2013
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Ilias [2011-05-20]
Germany-based Bayer MaterialScience, or BMS, plans to increase the production capacity of its polycarbonate plant at Shanghai by 50% to 300,000 mt/year in 2013, a source close to the company said late Tuesday.
Currently, BMS operates an integrated petrochemical complex at Shanghai Chemical Industry Park, which can produce 200,000 mt/year of polycarbonate and 200,000 mt/year of bisphenol-A.
BPA, which is derived from phenol and acetone, is a raw material for making polycarbonate, a plastic used in household appliances, electronic goods, and automotive and aircraft components.
According to the timetable, the existing polycarbonate plant will be debottlenecked in 2013, increasing its production capacity by 100,000 mt/year.
On December 9, the Bayer group announced plans to invest about Eur1 billion ($1.33 billion) in five projects to expand its methylene diphenyl diisocyanate and polycarbonate production capacities in Shanghai.
The new polycarbonate plant will be built in 2015 and will have a nameplate capacity of 200,000 mt/year.
Due to the greater significance of Asia, BMS plans to shift its polycarbonates business unit from Leverkusen to Shanghai in early 2011.
The company has said the Asia-Pacific accounts for about 60% of the world's total polycarbonate market, with the greatest demand coming from China.
Also, at the Shanghai site, BMS will double its MDI production capacity to 1 million mt/year.
By 2016, BMS will expand the existing MDI plant from 350,000 mt/year to 500,000 mt/year, and build a new 500,000 mt/year MDI plant.
MDI is derived from nitrobenzene, which is made by treating benzene with a mixture of nitric and sulfuric acids.