Domo Chemicals Opens its First Nylon Compounding Plant in China

SHANGHAI: Domo Chemicals is a German materials company, which is privately owned. In 2015, the recorded its sales revenue to be around USD1 billion. The company has 900 employees, and production facilities at Germany, United States, Italy and China. The company has recently launched its first nylon compounding plant in Jaixing, China. The facility, has a production capacity of 10,000 metric tons. The company also plans to add another 5,000 tonnes by 2017 and additional 5,000 tonnes by 2019. The new plant in China will manufacture Domamid nylon 6 and 6/6, along with high-temperature, functionalized nylon compounds for industries that include: electrical, automotive and consumer goods. The higher management of the company plans to build the production plant with not more than 3 production lines as it would require hiring of more middle management staff.

TechSci Research depicts that the launch of the new production facility would lower the cost of plant’s transportation logistics in the region. This would help the company to grow and expand in China. This is expected to open doors for the company’s expansion in the APAC as well as in the south east Asian countries as the demand for high quality and high value engineering plastics is continuously increasing.

According to TechSci Research report “India Engineering Plastics Market By Type, By End User, By Region, By Company Forecast & Opportunities, 2010 - 2020”, India engineering plastics market is projected to exhibit a CAGR of over 13% during 2015 – 2020. India engineering plastics market will continue to exhibit growth over the next five years on the back of increasing demand from various industries. Adoption of lightweight technology in heavy machinery, and stringent environmental regulations are fueling the demand for engineering plastics in the country. In India, engineering plastics are replacing traditional engineering materials like metals, as use of engineering plastics results in weight reduction as well as performance enhancement.