CHIZHOU, China—Additives maker Hengguangda is continuing its expansion efforts, saying it plans to build a $42 million facility at its existing site in Chizhou.
According to an environmental impact report released in April, the new 603,000-sq.-ft. plant should be completed within 18 months, and will have annual capacity for:
- 3,000 tons of amine additives;
- 10,000 tons of silicone additives;
- 5,000 tons of tin additives; and
- 10,000 tons of polyurethane systems.
The plant will create 100 new jobs when in full operation, and is expected to generate $13 million in annual profits after tax, according to an environmental impact report filed by the company.
Originally, the project also included capacity to make high-speed train and airplane seating, but those plans were scrapped because of market conditions and restraints at the site, the report noted.
Hengguangda has been supercharging its expansion throughout the past few years, adding 40,000 tons of annual capacity for additives. It also recently upped capacity for POP and modified MDI.
In China, the company claims a 63 percent a market share of tin additives, a 23 percent share of silicones, a 20 percent share of amines and a 10 percent share of PU systems.