Clariant to Build New High-Tech Manufacturing Plant for CATOFINTM Catalysts in China

Clariant, a focused, sustainable and innovative specialty chemicals company, announced today the construction of a new catalyst production facility for advanced technology products in China.

This project represents a significant investment that further strengthens Clariant's position in China and enhances its ability to support customers in the country's developing petrochemical industry.

[caption id="attachment_104522" align="aligncenter"] Clariant's CATOFIN ™ catalysts for propane dehydrogenation. (Photo: Clariant)[/caption]

The new facility will be primarily responsible for producing CATOFIN catalyst for propane dehydrogenation, used in the production of olefins such as propylene. Thanks to its excellent reliability and productivity, CATOFIN delivers superior annual production output compared to alternative technologies, enabling propylene producers to increase overall profitability.

Construction at the Dushan Port Economic Development Zone in Jiaxing, Zhejiang Province, is planned to commence in the third quarter of 2020, with Clariant expecting to reach full production capacity by 2022.

Hans Bohnen, Chief Operating Officer of Clariant, stated: "Having defined the right portfolio for Clariant's focused growth strategy, it is now crucial that we invest in core high-value expertise businesses such as catalysts to position them in the strongest possible market positions.

China continues to be a growing market with attractive prospects for Clariant. This investment will provide significant benefits to our company's positioning throughout the region and customer proximity, and will thus constitute another milestone in Clariant's implementation of the "Fringe to Core" strategy, together with the One Clariant campus," he said.

[caption id="attachment_104523" align="aligncenter"] Clariant's high-tech CATOFIN ™ production facility in Jiaxing, Zhejiang Province, China. (Photo: Clariant)[/caption]

The new facility in Jiaxing will be Clariant Catalysts' most digitalized facility to date and will integrate sophisticated automation systems throughout the production process. Upon completion, it will be Clariant's third catalyst production facility in China. It will strengthen Catalyst's existing network, consisting of a joint venture facility with North Huajin Group in Panjin as well as a fully owned Clariant facility in Jinshan, Shanghai.

Stefan Heuser, Senior Vice President and General Manager of Clariant Catalysts, underscored the importance of the new facility, stating: "The Jiaxing CATOFIN plant is an important component of our China strategy and further develops our commitments toward the country's growing PDH market.

Another example of how we continue to strengthen our presence in the region to expand our local capacity to meet our customers' needs."

China is the world's leading producer of propylene for dedicated purposes. The country's production volume accounts for approximately 50% of total global capacity and is expected to continue growing at 8% annually*. Consequently, the first phase of the new facility will focus on meeting China's PDH requirements through CATOFIN production.

In the future, Clariant may expand its production capabilities in the field to offer China's chemical industry additional catalyst technologies.

CATOFIN is a highly reliable and efficient dehydrogenation catalyst for the production of olefins such as propylene or isobutylene from light paraffin feedstocks. The catalyst is used in combination with Clariant's Heat-Generating Material, which further increases the selectivity and efficiency of production units.

* Data from IHS Markit 2019 report