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February 26, 2018 01:00 AM

Kraiburg growing in Asia-Pacific on rising TPE demand

Satnam Singh
Plastics News
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    GANDHINAGAR, India—Growing applications of thermoplastic elastomers in the appliances and automotive industries in Asia-Pacific is prompting materials maker Kraiburg TPE GmbH & Co. K.G. to expand its plant in Malaysia.

    In an interview at the recent Plastindia show in Gandhinagar, the company said the factory will add another extrusion line in mid-2018, after increasing its production five-fold since 2008, to 22.0 million pounds of capacity.

    The company, based in Waldkraiburg, Germany, said the expansion will raise TPE production by 35 percent by mid-2018.

    "Currently, the Selangor [Malaysia] plant has four lines, two big and two smaller lines. An additional fifth line would be added at the site in 2018," said Bridget Ngang Shue Hui, marketing manager (Asia Pacific), for Kraiburg.

    India is helping to drive that growth, she said, with Kraiburg having sales offices in Bengaluru, Pune, Delhi and two years ago adding one in Mumbai.

    "Revenues from India are growing by 15 to 20 percent annually and it is now identified as one of the key growth market in the region," she said.

    At the fair, the company was aiming at the consumer electronics market with a new range of scratch and abrasion resistant materials, along with the packaging, medical and pharmaceutical markets,

    "We are targeting India's growing demand for TPEs in medical and pharmaceutical sectors also," she said.

    It is also expanding its sales network in Vietnam, with a sales office in Ho Chi Minh City and a second opening in Hanoi this year.

    The Malaysian expansion comes after the company added extrusion capacity in its German headquarters last year and its U.S. facility in Georgia in 2016.

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