Borouge PTE Limited being a leading provider of innovative plastics solution announced today the investment of a manufacturing plant in Shanghai China. Borouge has decided to press ahead with further investments in the key markets including China despite the current prevailing global financial crisis. The first phase of this investment include a 50,000 tons plant focusing on engineering plastics for use in the automotive industry. The plant will be set up in the Fengxian District of Shanghai.
Rashed Saud Al Shami Chairman of the Board of Directors of Borouge PTE together with the entire Borouge Board as well as various government officials of Shanghai attended the inauguration ceremony as well as the press conference in Shanghai last month.
Sashed Saud Al Shami said: - With highly innovative technology, Borouge has been well recognized by customer all around the world for it`s value added service and products. The progress with the company`s expansion plan under Borouge 2 has been very good and is expected to complete by 2010. The new expansion will employ Borstar bi-modal technology and will increase capacity 3 fold to 2 million tons per year.
The current investment is one of the most important Borouge projects in china. The plant is designed to produce 50 kt high value added engineering plastics and with additional 80 kt expansion potential.
Taking the advantage of raw material offering from Abu Dhabi Borouge 2 project, and unique Borealis technology, we will provide PP compounding product, such as PP TPO, PP Mineral and PP Glass Fiber enforced, for the automotive industry, which are used a range of plastic parts for passenger car.
These include bumper, body panels, door claddings, dashboards and air intake manifolds. It provide superior aesthetic properties and contribute to reduce the overall weight of the vehicle which benefit its fuel consumption.
William Yau, CEO of Borouge PTE said: - Our new manufacturing plant in Shanghai will provide products matching the needs of our customers here. This investment will be a very important milestone for our investment in China to allow us to further improve our product and service. Apart from the manufacturing facility in Shanghai, we also have plans to set up large scale logistics and distribution centres both in Shanghai (600,000 tons p.a.) and in Guangzhou (300,000 tons p.a.). He further added that Borouge is very confident with the development of the Chinese market and is prepared to continue to invest in China.
