MOSCOW—Russian polyurethane foam producer FoamLine is planning a $40 million flexible foam plant and a separate mattress production unit at Kuznetsk in western Russia.
Moscow-based FoamLine, Russia's largest flexible polyurethane foam maker, signed a cooperation agreement for the development with the Penza region administration in April.
Phase one will see construction of a 25,000 metric ton per year plant to make PU foam for the furniture sector, including the nearby Kuznetsk industry cluster. Preparation on the site of a former radio equipment factory has begun. The $23.5 million facility will employ 100, and operation is expected to start in spring 2019.
The second stage is expected to cost about $16 million, and will involve rebuilding old factory units. These will house the mattress manufacturing unit which will create 200 jobs. Work has started on this part of the project, and machinery installation is scheduled for the first half of 2019. The plant is expected to come online in autumn 2019, according to the regional authority.
"Support for the implementation of investment projects by the regional government and municipality will be assured. We are interested in creating new enterprises and developing the industrial sector in the Penza region," Gov. Ivan Belozertsev said after singing the formal agreement with FoamLine CEO Artur Soghomonyan.
FoamLine has eight foam plants and seven cutting centers in Russia. It also has one foam plant each in Serbia and Kazakhstan.
The company produces furniture foams, mattress cores and pillow foams as well as blocks, molded parts and sheet. FoamLine's overall annual production has reached 90,000 tons per year.