Sino-foreign joint venture Shanghai integrated isocyanate project put into production
The total investment of the project is 1 billion U.S. dollars, of which China owns 30% of the shares and foreign parties have 70% of shares. The project consists of three joint venture companies: Shanghai Lianheng Isocyanate Co., Ltd. has an annual output of 240,000 tons of crude MDI manufacturing facilities, including raw materials aniline and nitrobenzene production facilities, by BASF, Huntsman, Shanghai Huayi (Group) Company , Shanghai Chlor-Alkali Chemical Co., Ltd. and Sinopec Shanghai Gaoqiao Petrochemical Co., Ltd.; Shanghai BASF Polyurethanes Co., Ltd. MDI finishing and an annual output of 160,000 tons of TDI plant, the production of raw materials nitric acid and dinitrotoluene, from BASF and Its partners Shanghai Huayi (Group) Co., Ltd. and Sinopec Shanghai Gaoqiao Petrochemical Company were built; Shanghai Huntsman Polyurethanes Co., Ltd. MDI finishing and prepolymer plant was built by Huntsman and Shanghai Chlor-Alkali Chemical Co., Ltd. The project will provide more high-quality raw materials for China's rapidly developing polyurethane and downstream related industries.
It is understood that the domestic consumption of polyurethane products has exceeded 2 million tons. It is expected that the Chinese polyurethane market will grow at an average annual rate of 10% in the next 12 years, and the demand for MDI and TDI will be greater. Previously, China's Yantai Wanhua annual production capacity of 160,000 tons of MDI equipment has been put into operation in Ningbo. Bayer also announced that it will build an integrated isocyanate base in Shanghai. In 2008, 350,000 tons of MDI equipment will be put into operation. BASF also plans to build an MDI plant with a capacity of 400,000 tons later in 2010.
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