Wanhua Chemical to Build a New Chemical Manufacturing Complex

Wanhua Chemical Group has agreed to build a USD1.12 billion chemical manufacturing plant in Louisiana

Louisiana: Wanhua Chemical Group, a China based chemical manufacturing company has agreed to open a new facility of chemical manufacturing in Louisiana, United States. The project would be the second-largest foreign direct investment of around USD21.3 million in Louisiana by the company. The agreement is signed between Wanhua Chemical Group and Gov. John Bel Edwards administration caps, a Louisiana based government body. As per the deal, Wanhua Chemical would produce Methylene Diphenyl Diisocyanate (MDI), which would combine USD954 million capital investment by the company and USD166 million capital investment by project partners. MDI is commonly employed to produce polyurethane foams and elastomers, with applications in consumer areas such as appliances, electronics, furniture, textiles and footwear. Additionally, it is used for the development of rollers, packing, vibration insulators and synthetic leather.

TechSci Research depicts that the new production facility is a part of strategic expansion of Wanhua Chemical Group in Louisiana. The new MDI manufacturing plant would strengthen the production as well as distribution network of the company in United States and across the globe such as in Asia Pacific and Middle east regions. Owing to this, Wanhua Group would be able to cater to the demand of existing and new customers across various end use industry in developing countries such as China, India etc.  

According to the recently published report by TechSci Research, “India Thermoplastic Elastomers Market By Type (Styrenic Block Copolymers, Thermoplastic Olefins, Thermoplastic Polyurethanes, etc.), By End Use Application (Automotive, Consumer Durables, etc.), Competition Forecast and Opportunities, 2011 – 2025”, the market of thermoplastic elastomers in India is anticipated to grow at a CAGR of around 7% during 2016 – 2025. Styrenic Block Copolymers dominated India thermoplastic elastomers market in 2015, and the segment is expected to continue dominating the market through 2025 owing to its wide range of applications in various industries, ranging from automotive to consumer durables. During the forecast period, automotive industry is expected to emerge as the largest end user of TPEs in India, on account of increasing consumer preference for high performance and lightweight automobiles in the country. A major share in the demand for thermoplastic elastomers emanates from Tamil Nadu, Maharashtra, National Capital Region (NCR), Gujarat, Karnataka and Andhra Pradesh, among others.