The joint venture for the worldwide manufacturing and sales of products for the polyurethane industry between specialty chemicals company Perstorp and PTT Global Chemical has been signed.
At a ceremony in Grenoble, France, the future cooperation agreement between Perstorp and PTT Global Chemical was signed. The joint venture, dedicated to the manufacturing and sales of aromatic (TDI) and aliphatic (IPDI, HDI & derivates) isocyanates, includes the former Perstorp business group Coating Additives with its manufacturing sites at Pont-de-Claix in France and Freeport, Texas in the U.S. PTT Global Chemical (PTTGC) will hold 51 percent of the joint venture and Perstorp 49 percent.
"We believe in a promising future for polyurethanes. Perstorp's expertise in manufacturing, R&D, sales and marketing of isocyanates, coupled with PTT GC's position as a major Asian chemical player, gives the joint venture a unique opportunity to establish leading positions in the worldwide polyurethane market," said Veerasak Kositpaisal, PTT Global Chemical's CEO and Martin Lundin, Perstorp's president and CEO, in a joint statement.
The joint venture is planning a major investment to expand capacity at the manufacturing plant in Pont-de-Claix, France, and new capacity in Asia. To begin with, this includes the investment in a new joint plant for HDI derivatives in Asia. As part of the investment scheme, Perstorp has also entered an agreement with the French government regarding the measures to be introduced that meet the French PPRT law (Plan de Prevention des risques Technologique), measures which are also supported by PTTGC.
Isocyanates are used as hardeners in coatings and raw materials in elastomers and foam products. TDI are key materials for foam, which is used for making mattresses, bedding, seating and packaging. HDI and its derivates find major market applications in the automotive sector (OEM and refinish), industrial maintenance, plastic and wood coatings, transportation, aerospace, coil and can coatings, leather finishing and adhesives.