RAYONG, Thailand—Covestro A.G. is constructing a new production plant for high performance elastomers in Thailand as demand continues to grow for the materials.
The new site will be constructed with an investment in the "high mid double-digit million (dollar) range" and is set for completion at the end of 2022, Covestro said Nov. 12.
The unit's production capacity was not disclosed.
The plant, to be built in the Map Ta Phut industrial zone, in Rayon, Thailand, will manufacture Vulkollan-branded elastomer materials, which are "one of the most powerful elastomers on the market," Covestro said.
The product offers high mechanical strength and abrasion resistance, and is typically used in wheels of forklift trucks as well as couplings and seals for the engineering industry.
Vulkollan is based on naphthalenediimide (NDI) polymers and can be produced in solid and cellular grades.
"Due to its extremely high mechanical strength and dynamic load capacity, the elastomer is the engineering material of choice for demanding applications," said Thomas Braig, head of elastomers.
The material provides "long-term functional reliability," which Braig said optimizes the total cost of ownership compared to other elastomers.
"This makes Vulkollan the perfect material not only in the material handling industry, but also for a growing number of engineering applications," he said.
Covestro said the investment will further improve its infrastructure and customer proximity and strengthen its presence in the Asia-Pacific region.
The Map Ta Phut site is also home to Covestro's polycarbonate films production operation in Thailand, which recently has undergone an expansion project.