AkzoNobel Expands Colloidal Silica Capacity in Sweden

AkzoNobel’s Specialty Chemicals business is investing more than €4 million to increase production capacity in Sweden for its Levasil CC-branded product line of patented surface modified colloidal silica. The expansion will help meet growing customer demand and will strengthen the company’s market leadership position.

A product of two natural ingredients – sand and water – colloidal silica is a versatile product which enhances and improves key functionalities of other products and manufacturing processes. With production facilities in Asia (Taiwan and China), Europe (Germany and Sweden) and the Americas (Brazil and U.S.), AkzoNobel is a leading global producer of colloidal silica products. The business’ main markets include electronics, coatings, construction and catalysts, as well as batteries.

“Within our Levasil Colloidal Silica brand, we have a very diverse product portfolio and are experiencing growing demand in various markets, such as coatings, where Levasil CC supports the industry in its switch from solventborne coatings to waterborne alternatives,” said Ann Lindgärde, Director of Levasil Colloidal Silica at AkzoNobel. “We also anticipate future growth as we continue to research and develop new applications for a range of industries.”

“Analysts expect the global demand for colloidal silica to increase in the range of 5 percent per year,” added Media Relations Manager Peter van Boesschoten. “Within our Levasil Colloidal Silica portfolio, the Levasil CC-product line is specifically developed for the coatings industry. It improves key functionalities in a wide range of coatings, from durability in industrial coatings to performance of silicate paint and other architectural coatings. It can be used to enhance critical aspects such as hardness, pigment dispersion and anti-soiling properties, as well as allowing for better control of open time.

“Levasil CC specifically is a global product and is especially popular in regions like Europe were waterborne coatings are dominant,” van Boesschoten continued. “With Levasil CC we supply the industry worldwide supporting them in the switch from solventborne to waterborne solutions.
 
“Considering we are investing in a specific product line this is a significant investment.”
 

The expansion, at the Bohus facility close to Gothenburg, is expected to be completed by late 2018. It is the latest initiative aimed to fuel further growth of AkzoNobel’s colloidal silica business. Last year the business commissioned a new lab and implemented an innovative process step that boosted production capacity of Levasil products.

“This is a significant investment which not only strengthens our leadership position, but also underlines our commitment to growing with our customers and meeting their changing needs,” said Niek Stapel, Managing Director of AkzoNobel’s Pulp and Performance Chemicals business. “More than 50 percent of colloidal silica revenue comes from Eco-Premium products, which offer our customers more sustainability benefits than competitive products. The increasing demand for Levasil CC, as well as other products in the Levasil portfolio, mirrors a growing demand for products with clear sustainability benefits.”

Building on strong competitive positions, and in response to customer demand, AkzoNobel’s Specialty Chemicals business is selectively increasing production capacities across its portfolio. This quarter the company made progress with expansion projects at its Kvarntorp plant in Sweden, Frankfurt facility in Germany and Ningbo multi-site in China, while projects were completed in the US, China, Brazil and Denmark.