Zhanjiang, China – German chemicals giant BASF has started the piling work of the first plants at its $10-billion (€8.9 billion) Verbund (integrated) project in Zhanjiang, in the southern Chinese province of Guangdong.
The first units to be built at the site will include an engineering plastics production unit and a thermoplastic polyurethane (TPU) manufacturing plant to serve the local Chinese and Asian markets, BASF announced 2 June.
The German group did not give further details on the production capacity of the individual units.
BASF disclosed plans to build the integrated chemicals and petrochemicals complex in July 2018 after signing a memorandum of understanding with local officials in Zhanjiang.
At the time, the German group said the TPU market in the region was driven by regulatory requirements and demand for sustainable materials in areas such as e-mobility, lightweight and automation.
BASF’s TPU products are used in cables and wires for automation and automotive, as well as lightweight materials for consumer goods.
The group expects the first batch of “made in Zhanjiang” products to hit the market by the end of 2022.