Issue 8/2017 - LANXESS plans to expand production capacity for iron oxide pigments

LANXESS intends to expand iron oxide pigment production capacity Lanxess said it plans to expand its global production
network to ensure long-term supply to customers
.
Among them, the company plans to increase the production capacity of iron oxide red and iron oxide black pigments at its Krefeld-Uerdingen synthetic iron oxide pigment production site by an additional 23,000 tons in 2019 from its current 280,000 tons
.

In addition, LANXESS's production capacity for iron oxide yellow pigments at its Felis port site in Brazil is also expanding
by 2,000 tons per year through modernization.
The plant at its Ningbo site in China has also been started, and the synthesis line at the site was officially commissioned in the first quarter of 2016, with an annual design capacity of 25,000 tons
of iron oxide red pigments.
With these initiatives, LANXESS' total global production capacity for iron oxide pigments is expected to increase from the current 375,000 tons to 400,000 tons
by 2019.

Weck He, Global Head of the Inorganic Pigments Business Unit (IPG), said: "These investments are to support the growth of
our customers.
LANXESS continuously evaluates
developments in the global pigment market.
The company expects that after 2018, the global demand for iron oxide pigments will grow
at an average annual growth rate of 3%.
Driven by the rapid development of some countries, including India, and the ongoing recovery of the construction industry in North America and parts of Europe, the demand for iron oxides will rise
significantly.
The continuous development of China will further accelerate the growth of
global demand for iron oxide pigments.
By 2025, global demand for iron oxides is expected to grow at an average annual rate of 4%.

In particular, the demand for high-quality pigments that meet globally harmonized standards will increase
significantly.
”