As part of its “LANXESS goes Asia” strategy, specialty chemicals group LANXESS AG has started up its new plant in Qingdao, China, for the manufacture of lubricant oil additives. The production facility, which is operated by LANXESS’s subsidiary Rhein Chemie, received all governmental approvals and was ready for production by the end of 2008. This new plant represents an investment of some EUR 5 million and will initially employ 20 people.

 

The industrial lubricants segment is of particular interest to Rhein Chemie. It is likely to grow quickly at an above average rate, translating into high demand for LANXESS Rhein Chemie specialty products and packages.

 

“With this new facility, we are underlining our strategy of profitable growth in Greater China,” said LANXESS Greater China CEO Martin Kraemer. “Besides our production site for additives and service products for the rubber industry and our Rubber Research Center, this is LANXESS’s third key investment here in Qingdao.”

 

At the new facility, Rhein Chemie will focus on the manufacturing of customized additive formulations for lubricants with the product name Additin. These additive formulations improve performance and service life in industrial applications and also aid environmental protection as they can replace products that have an impact on the environment.

 

LANXESS in Qingdao
In Qingdao, Rhein Chemie has been producing rubber chemicals since 1999 as part of a majority joint venture. Capacity of polymer-bound chemicals (Rhenogran) was doubled in 2006 with the commissioning of a second production unit.

 

Since July 2008, LANXESS AG has also operated a center for rubber research in Qingdao. The new research center is located in the immediate proximity of the Qingdao University of Science and Technology, enabling close cooperation with the university.

 

LANXESS currently employs more than 850 staff in China, of which 179 work in Qingdao.