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BASF announced on October 11 that it plans to invest in a new world-class neopentyl glycol plant with an annual capacity of 80,000 metric tons at its Verbund site in Zhanjiang,
China.
The new plant is expected to come on stream in the fourth quarter of 2025, increasing BASF's annual global production capacity of neopentyl glycol from 255,000 tons to 335,000 tons
.
BASF currently has production plants
for neopentyl glycol in Ludwigshafen, Germany, Freeport in Texas, and Nanjing and Jilin, China.
Neopentyl glycol is an intermediate with high chemical and thermal stability, mainly used in the production of powder coating resins
.
"Investing in a neopentyl glycol plant at the Zhanjiang Verbund site will enable us to support the growing demand from our customers in Asia, particularly in the powder coatings sector
in China.
" Hua Siliang, Senior Vice President of BASF's Intermediates Business Unit Asia Pacific, said that by leveraging BASF's unique integrated model to create synergies and combine cutting-edge technologies, this investment will enhance the competitive advantage in China, the
world's largest industrial market.
The picture shows BASF's Zhanjiang Verbund site
under construction.
It is reported that the BASF (Guangdong) Verbund site project, with a total investment of about 10 billion euros, is the largest single project invested by German enterprises in China, which was launched
in November 2019.
On September 6, the first set of equipment was officially put into operation, and the first phase of the project entered the comprehensive construction stage, mainly including an annual output of 1 million tons of ethylene and downstream processing equipment
.
After the completion of the project, Zhanjiang, Guangdong will become BASF's third largest integrated production site
in the world.