Japan’s Mitsui Chemicals Inc is planning to raise the capacity of polypropylene (PP) compound at its Neemrana (Rajasthan) facility by about 15,000 tonne by adding one production line, which is expected to be operational by July FY2017. The expansion is part of Mitsui’s global plan to strength the group’s position in PP compound market by augmenting production at three of its overseas PP compound hubs - US, Mexico and India - in response to growing demand for automotive use polypropylene.
The group currently has 8 global production sites (Japan, USA, Mexico, Europe, Thailand, China, India, and Brazil) and R&D facilities in 5 areas (Japan, USA, Europe, Thailand, and China) for automotive use polypropylene and has continued to enhance its production system for premium-quality products.
While needs to reduce environmental load and regulatory constraints expand, the demand for lighter weight automobile parts which do not require paint processing, such as bumpers and instrument panels, is also expected to grow.
“In fiscal 2017, the Group will strengthen its production capacity by 5 percent in North America, Europe, and Asia bringing the production capacity to 1.05 million tonne from the current 1 million tonne, thereby securing its position as the world’s top class provider of PP compounds for automotive use,” said Mitsui in a press statement.
Mitsui Chemicals holds 70.96 percent in Mitsui Prime Advanced Composites India Pvt Ltd, established in September 2007, while Prime Polymer hold 20 percent stake in the company.
Source : business-standard.com