• Investment in excess of a hundred million euros
• Increases Evonik’s global hydrogen peroxide capacity by approx. 30 percent
• Hydrogen peroxide established as eco-friendly oxidant for the chemicals industry
On July 8, Evonik Industries formally commenced operations at a new hydrogen peroxide plant in Jilin (China). The new production plant has an annual capacity of 230,000 metric tons. Evonik has invested over one hundred million euros in the site, thereby raising its current global capacity for hydrogen-peroxide production to more than 900,000 metric tons per annum.
"This investment further consolidates our market leadership for hydrogen peroxide and sees us resolutely pursuing our growth strategy in Asia," said Dr. Klaus Engel, Chairman of the Executive Board of Evonik Industries, at the official opening ceremony in Jilin. The event was also attended by high-ranking representatives from politics and the business community.
Evonik will supply H2O2 from Jilin straight to the neighboring propylene oxide plant run by Jishen Chemical Industry Co., Ltd., which has likewise been newly erected. A long-term supply agreement was signed for this purpose. Jishen will use the hydrogen peroxide to manufacture propylene oxide on the basis of the HPPO process. Propylene oxide is used predominantly to make the polyurethane intermediates that are used in the manufacture of products such as upholstery for car seats and furniture or insulation material for the construction and refrigeration industry.
"We are registering a great deal of demand around the world for our efficient HPPO process," says Gregor Hetzke, Head of the Advanced Intermediates Business Unit at Evonik. "The Jilin plant represents another milestone on the way to establishing hydrogen peroxide as an eco-friendly oxidant for the process of chemical synthesis. The project is also proof of how we use new technologies to systematically drive forward our growth."
Evonik developed the HPPO process together with ThyssenKrupp Uhde GmbH. The new plant in Jilin is the second of its kind. Evonik, ThyssenKrupp Uhde, and a Korean chemicals company as the licensee were the first companies worldwide to use the HPPO process on an industrial scale back in 2008 in Ulsan (Korea).
To date, hydrogen peroxide has been used mainly as a bleaching agent by the textile and pulp industry. The HPPO process now allows this eco-friendly oxidant to also be employed in the direct chemical synthesis of propylene oxide. The benefits of the new method are that it requires much lower investment costs, has high production efficiency, and has excellent environmental compatibility.
Evonik, the creative industrial group from Germany, is one of the world leaders in specialty chemicals. Profitable growth and a sustained increase in the value of the company form the heart of Evonik’s corporate strategy. Its activities focus on the key megatrends health, nutrition, resource efficiency and globalization. Evonik benefits specifically from its innovative prowess and integrated technology platforms. Evonik is active in over 100 countries around the world. In fiscal 2013 more than 33,500 employees generated sales of around €12.7 billion and an operating profit (adjusted EBITDA) of about €2.0 billion.
Evonik Industries has been producing specialty chemical products in the Greater China region (Mainland China, Hong Kong and Taiwan) since the late 1970’s; with wide-ranging trading relations already in place prior to this in the region. Evonik regards Greater China as one of the driving forces of the global economy and we consequently endeavour to grow our business in the region. The company now has around 3,200 employees in the Greater China region, the regional sales reached over €1 billion in 2013.
In so far as forecasts or expectations are expressed in this press release or where our statements concern the future, these forecasts, expectations or statements may involve known or unknown risks and uncertainties. Actual results or developments may vary, depending on changes in the operating environment. Neither Evonik Industries AG nor its group companies assume an obligation to update the forecasts, expectations or statements contained in this release.