AGC announces that it will invest approximately 40 billion yen to significantly increase the production capacity of its Indonesian subsidiary P.T. Asahimas Chemical (ASC) to meet growing demand for chlor-alkali products, such as caustic soda and vinyl chloride, in the Southeast Asia region.
In March 2013, ASC expanded its annual production capacity for caustic soda to nearly 500,000 tons. Now, ASC is going to further enhance its production facilities for caustic soda and vinyl chloride, aiming to start operation of the extended facilities by the end of 2015.
After the expansion, output of caustic soda at ASC will increase 40% to about 700,000 tons a year and production of polyvinyl chloride (PVC) will nearly double to about 550,000 tons a year.
Caustic soda is used in the production of alumina, pulp and paper, and rayon as well as various water-treatment processes.
Demand for caustic soda is increasing with the progress of industrialization. On the other hand, demand for PVC, one of the major commodity resins, tends to increase along with economic growth as PVC applications, such as pipes, are commonly used in infrastructure and housing construction.
Demand for the chlor-alkali products is expected to rise by about 5% annually in the Southeast Asia region, where economies are projected to continue developing.
In 2020, the market scale for the products in the region is forecast to expand by about 50% from the present level. In particular, the caustic soda and vinyl chloride markets in Indonesia, both already the largest markets in the region, are expected to grow much faster than the average growth rates in the region.
ASC, an Indonesian subsidiary of AGC, is one of the largest manufacturers of chlor-alkali products in Southeast Asia, conducting integrated production from caustic soda and chlorine to vinyl chloride.
The subsidiary currently accounts for more than 50% of Indonesia’s caustic soda market and about 50% of the country’s PVC market. By significantly expanding its production capacity, ASC is responding to robust demand for the products in the Southeast Asia region, centered on Indonesia.
With its production bases located in Indonesia and Thailand, the AGC Group will strive to enhance its chlor-alkali business throughout the Southeast Asia region, where high market growth is expected, and establish an optimal supply system that fully meets market needs
Middle East News
- Media Information: Autefa Solutions announces new agency for the Indian market
- Denimsandjeans India to discuss trend of unisex denim
- RBI keeps repo rate unchanged at 6%
- Maharashtra cabinet approves textile policy for 2018-23
- UAE has the lowest VAT regionally and globally
- Costs rise at sharpest pace for UAE’s private sector businesses
- Budget 2018-19: Customs duty on silk fabric hiked to 20%
- Reduction in tax for MSMEs to benefit TN textile firms
- Budget: TEA hails Rs 7148cr allocation for textile sector
- Indian textile industry hails budget with some scepticism
- Arvind Q3 revenue up 16% at Rs 2,706 crore
- Amazon infuses 1,950 cr fresh capital to India operations
- Indian brand Ekaya at Paris Haute Couture Week
- E-commerce platform for artisans in India's Kashmir
- SRTEPC honours RIL with 5 gold trophies
- Indian economy to grow at 7.3% in FY 2018-19: World Bank
- Wazir Advisors Introduction
- 10 Reasons to Invest in Textile Sector in India
- India’s Standing in Global Textile and Apparel Industry
- India: A Land of Opportunities
- Patterns, images and colors demanded in the Iranian carper markets
- CE certificate or sign on the carpet; Indicator of product quality or inaudible imprint of international clarification
- The classification of textile floorings In terms of fire-taking behavior according to the provisions of European Union
- Remain unknown the place of modern carpet design