Next year, Degussa AG, Dusseldorf, will build a polycondensation plant for specialty polyamides and a compounding plant at its multi-user site in Shanghai. Construction will begin in March and July, respectively, as soon as the relevant permits are obtained, with both plants scheduled to commence operation in January 2008. The single-digit euro investment in local production facilities will significantly expand the presence of Degussa's High Performance Polymers (HP) Business Unit in Asia, particularly in the growth market of China.
While the global market for specialty polyamides is growing at an annual five percent, growth rates in Asia are more than 10 percent. The products of the new plant in China will go to serve existing markets and open up new niche applications. The compounding plant adjoining the polymerization plant will make it particularly easy for HP to adapt molding compounds to local needs. To assist marketing activities, HP is also planning to build a technical center on the Shanghai site-another investment in the business unit's worldwide technical customer service, with construction slated to begin in 2007.
Headquartered in Marl, the High Performance Polymers Business Unit focuses its activities on the manufacture of custom-tailored products, systems and high-performance semifinished products based on high-performance polymers. Some of the products in its portfolio include Polyamide 12, Polyamide 612, transparent specialty polyamides and polyether ether ketones. The compounding plant in Shanghai is designed in such a way that HP will also be able to refine other products from its portfolio there.
Degussa has been manufacturing specialty chemical products in China since the early nineties, and has significantly expanded its presence there in the last few years. Their spectrum of products-ranging from carbon blacks, rubber silanes, amino acids, polyurethane foam additives, coating polyesters, pigment pastes, colorants, high-performance plastics, and initiators used in plastics production-is aligned to customers throughout Asia. In fiscal 2005, Degussa employed some 2,600 people in China, where it generated sales of about ˆ320 million. In June 2006, Degussa took its multi-user site at Shanghai Chemical Industry Park into operation with two plants for the production of colorants and polyesters, respectively. The Shanghai multi-user site is also intended for the establishment of new activities by various Degussa business units.
Degussa is the global market leader in specialty chemicals. Our business is creating essentials-innovative products and system solutions that make indispensable contributions to our customers' success. In fiscal 2005 around 44,000 employees worldwide generated sales of 11.8 billion euros and operating profits (EBIT) of 940 million euros.
