WATERFORD, N.Y.—Momentive Performance Materials Inc. will start a “strategic expansion” of its Leverkusen, Germany, site in a bid to increase its production capacity for serving the automotive markets.
The company will invest approximately $30 million to expand its NXT silane manufacturing capacity at Leverkusen, Momentive said in a statement.
This expansion, it said, will enhance the company's capability for meeting the growing demand for “innovative products that help global tire producers improve product performance.”
The NXT silane manufacturing facility is expected to begin production in late 2017.
“The expanded capacity will enable us to better serve our customers as we continue to make strategic capital investments in our specialty technologies,” Jack Boss, president and CEO, said in a statement.
The project in Leverkusen is aligned with the company's growth plans in the global automotive industry and is a key part of its ability to offer a “comprehensive portfolio of specialty products,” he added.
The site will market locally-produced NXT silane material in Europe for the first time.
According to Boss, the site is strategically located, with proximity to key customers.
“As tire manufacturers continue to work towards reducing fuel consumption and carbon dioxide emissions, NXT silane can play a large role in delivering benefits such as rolling resistance, traction and fuel economy in tires,” said Rich Owins, vice president, silanes, said in a statement.