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LANXESS in China at a glance

Country Representative: Ming Cheng Chien


Headquarters: Shanghai


Employees: 1,900(up to April, 2017)


Sites: Shanghai, Beijing, Guangzhou, Chengdu, Hong Kong, Wuxi, Qingdao, Liyang, Nantong, Changzhou, Ningbo, Nanjing, Taiwan

 

LANXESS R&D activities in China
LANXESS works closely with its local partners to develop market-oriented solutions that meet local market needs. In addition to technical support and testing responsibilities, LANXESS R&D centers in China are involved in developing new technologies, processes, novel materials and replacing raw material with environment-friendly chemicals.


R&D Centers:

  • Rubber Research Center Qingdao (RRCQ)
  • Qingdao Beverage Technology Center,
  • Hong Kong Asia Pacific Development & Application Center
  • Changzhou leather chemical lab
  • Changzhou EPDM QC lab
  • Changzhou microbiology test laboratory
  • Wuxi Research and Development Testing Center for engineering plastics
  • Rhein Chemie R&D lab
  • Nanjing Application Development Center


Major presence in China:

Shanghai
Shanghai is the headquarters of LANXESS in China.At the Jinshan site, the Inorganic Pigments business unit produces yellow iron oxide pigments and the plant has an annual capacity of 30,000 tons. It is the most modern and the largest single plant for the production of yellow iron-oxide pigments in China. The Inorganic Pigments business unit has also inaugurated a new manufacturing plant for black iron oxide pigments in Jinshan in 2010 with the annual capacity of 10,000 tons.

 

Wuxi
The High Performance Materials business unit manufactures high-tech plastics in Wuxi. Since May 2007, the Business Unit also operates a R&D Center for high-tech plastics at the site. In July 2011, LANXESS inaugurated a new production line for high-tech plastics, representing an investment of Euro 10 million, and expanded the plant’s annual capacity for high-tech plastics from 40,000 tons per year to 60,000 tons.

 

Qingdao

Established in 1995, Rhein Chemie (Qingdao) Ltd. manufactures polymer additives and lubricant oil additives for the electrical, electronics and automotive industries in the Asian market. LANXESS subsidiary Rhein Chemie built a plant for lubricant oil additives manufacturing in Qingdao, which started production at the beginning of 2009.


In July 2008, a new Rubber Research Center (RRCQ) was established in Qingdao in close cooperation with Qingdao’s University of Science and Technology (QUST). RRCQ marks an investment of some USD 16 million. In May 2009, RRCQ was expanded to include a 400-square meter rubber mixing/testing laboratory and a 400-square meter pilot plant.


In August 2011, LANXESS opened a Technology Center in Qingdao, China. The new technology center serves the customers in Asia and China by providing analytical, technical and consultancy services, as well as customized-solutions centered on LANXESS’ flagship product Velcorin.


In order to meet growing demand for Rhenogran in China and the APAC area, Rhein Chemie invested EUR 3.3million in upgrading its production lines in polymer-bound rubber chemicals. The new Rhenogran® V9 production line, which is equipped with state-of-art technology and has an annual capacity of 3,000 metric tons, started production in the middle of September 2013.


In November 2015, LANXESS opened a production line for Rhenoshape high-performance tire curing bladders at its Qingdao production site. It is LANXESS’ first Rhenoshape production line in Asia. The new production line is equipped with state-of-the-art technology to manufacture curing bladders for lightweight commercial vehicle tires and passenger car tires. It leverages the latest findings in bladder technology and provides customers with a combination of brand new compression and injection presses

 

Liyang
LANXESS (Liyang) Polyols Co, Ltd was founded in 2009. The site is operated by the LANXESS Advanced Industrial Intermediates business unit to manufacture Trimethylolpropane(TMP), Di-TMP(Trimethylolpropane Dimer) and CaFo in Liyang, Jiangsu Province. 

 

Nantong
LANXESS and Taiwan’s TSRC Corporation entered into a 50:50 joint venture in Greater China called LANXESS-TSRC (Nantong) Chemical Industrial Company Ltd. in 2010.  The two companies are jointly investing 50 million USD (EUR 36 million) in a new plant that will produce Nitrile Rubber (NBR) in Nantong, northwest of Shanghai. The production has started up in the first half of 2012 with an initial capacity of 30,000 metric tons per year and serve the rapidly growing Chinese market with high-quality grades of NBR.

 

With the acquisition of U.S. company Chemtura effective April 21, 2017, specialty chemicals company LANXESS is also acquiring the production site in Nantong, China. The company is producing Urethanes and lubricants at the Nantong site. The urethanes product range produced in Nantong includes hot-cast prepolymers. These are components of specialty polyurethanes that are used primarily in the construction, mining, oil, gas, athletic equipment and electronics industries. These polymers are used, for example, to manufacture rollers for conveyor belts or inline skates. Lubricants for industrial applications are manufactured in Nantong as well.

 

Nanjing

The Asia Pacific Application Development Center (ADC) in Nanajing joined LANXESS along with the Chemtura acquisition. It is equipped with advanced R&D facilities as well as excellent engineers, which provides technical, development and training support for company, customers, partners on Bromine Solutions, Lubricant Additives, Organometalics and Urethane Systems.

 

Hong Kong
HK office opened in the year of 1958. A team of sales experts markets the entire product portfolio for the Asia Pacific region.


In April, 2013, LANXESS has opened a new Asia-Pacific Application Development Center for its high-tech plastics in the Hong Kong Science & Technology Park. It is run by the High Performance Materials (HPM) business unit and provides comprehensive and high-value services ranging from concept development support, computer-aided design, computer-aided engineering and mold-design assistance to part testing for the automotive industry and other segments.

 

Changzhou
In the first half of 2013, LANXESS’ largest leather chemicals plant in Changzhou, Jiangsu province came on stream. The facility with an investment of up to USD 40 million is designed for a capacity of 50,000 metric tons per year. The Changzhou site also houses a leather chemical development lab.


Since 2013, the Material Protection Products business unit runs a microbiology test lab in Changzhou to strengthen its competitiveness in the biocides business in Asia. In addition, the business unit manufactures Preventol® biocides in Changzhou. The main application of these products is the preservation of diverse products, such as coatings, latex, adhesive, metal working fluid, water treatment, construction material and so on.


In August 2015, LANXESS inaugurated its ethylene propylene diene monomer (EPDM) plant in Changzhou. The plant, with an investment of EUR 235 million, marks the largest investment the company has made in China to date, and also the second largest plant investment in LANXESS’ history. With a nameplate capacity of 160,000 metric tons per year, the plant produces premium grades of EPDM tailored to Chinese and Asian customer needs. From August 2016, the plant is operated by ARLANXEO - the joint venture under LANXESS.

 

LANXESS has a EPDM QC Lab as well as a Rubber Technology Center in Changzhou. 


Chengdu
LANXESS opened Chengdu office in 2012 to enhance its presence in China and further reinforces its business network.

 

Ningbo
At the beginning of 2013, LANXESS announced to invest EUR 55 million in building a new high-tech facility for premium iron oxide red pigments in Ningbo Petrochemical Economic & Technological Development Zone (NPEDZ). The plant will initially have an annual capacity of 25,000 metric tons. Construction has begun in the second quarter 2013. The plant will use an improved and truly sustainable Penniman process.


In September 2014, LANXESS added a mixing and milling plant on the same site in Ningbo to strengthen its production network in China to meet the high level of demand for iron oxide pigments. This brings the total investment at the Ningbo site from around EUR 55 to around EUR 60 million. The mixing and milling plant will have an annual capacity of 70,000 metric tons, processing raw pigments from other LANXESS sites for the Asian market. The construction of both plants were completed in the fourth quarter of 2015 and start production in 2016. The total investment at the Ningbo site is EUR 60 million.

 

Taiwan

The Taiwan office went into operation on April, 2016. Currently responsible for the indent sales operated in BU Leather and BU Advanced Industrial Intermediates business in Taiwan and stock business, which creates possibility for business model expansion and provides a new platform for the BUs to handle their business in Taiwan.

 

With the acquisition of U.S. company Chemtura effective April 21, 2017, LANXESS has added a production site in Kaohsiung, Taiwan. The plant was founded in 1979, which manufactures the antioxidant for the use in petroleum-based and synthetic lubricants. The products can be found in the engine oil of the passenger car, automatic transmission fluid, industrial oil and greases.




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