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Boost for polyurethane as chemical groups club together

04/07/2014
Chemical groups are collaborating to build a new MDI (diphenylmethane diisocyanate) factory on the site of Shanghai Lianheng Isocyanate in Caojing, China.

MDI is an important precursor in the manufacture of polyurethanes for footwear and the new factory’s location is said to “signal confidence in the long-term prosperity of the single largest market in the world”, said Huntsman CEO Peter Huntsman.

The US group joins peers BASF, Shanghai Hua Yi, Shanghai Chlor-Alkali Chemical and SINOPEC in the project, which will double the crude MDI capacity to 480,000 metric tons per year. In addition, the partners plan to build a hydrogen chloride recycling plant for the production of chlorine, a precursor for MDI.

"The new crude MDI plant will further strengthen our ability to provide our customers in the region with high quality, locally manufactured products," added Mr Huntsman.

The facility is expected to start up 2017.

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