ZHANJIANG, China—BASF plans to add annual capacity for 32,000 metric tons of TPU and 160,000 tons of engineering plastics with its second China Verbund site. The site is located in the Zhanjiang Economic and Technological Development Zone.
The TPU and engineering plastics project started its first round of environmental impact assessments in April. This follows the framework agreement, which was signed in January. The German company opened a liaison office in Zhanjiang this March.
The $10 billion site will be BASF's largest investment. The company said it will be the third largest site globally, following Ludwigshafen, Germany, and Antwerp, Belgium, according to Zhanjiang's local authorities. Partial operation is scheduled for 2026 and the plant should come fully on stream in 2030.
A 100 percent BASF-owned project, the Zhanjiang site also will be the first large scale Verbund site to include the full implementation of smart manufacturing, BASF said.
In addition, it will supply local and multinational manufacturers in South China. Industries such as automotive, construction, high-speed railway are among the key likely markets, BASF said.