Kao Indonesia Chemicals, a subsidiary of Kao Corporation, will build a new surfactant production plant at Karawan International Industry City (KIIC), Indonesia, according to president and CEO Motoki Ozaki.
The new plant in Jakarta will cover an area of about 120,000m², which is double the area of the production site currently being used.
Kao Indonesia is initially investing ¥4bn ($51m) for the new plant, with construction expected to start in February 2012 and commercial operations in January 2013.
The new plant will be equipped with a gas cogeneration system to reduce CO2 emissions and energy costs.
The transfer of the current production base to KIIC was done because of an advantageous location and favourable infrastructures in relation to future expansion of production facilities, Kao Indonesia said.
The transfer of all operations from the existing plant located in Tambun, a suburb of Jakarta, will be completed by the end of December 2014 and integrated with the new plant, which will increase annual surfactant production capacity by approximately 50%.
With the construction of the new plant, Kao Indonesia aims to enhance and expand its function as a supply base for surfactants in the Asian market.
The surfactants are used as raw materials for toiletries and chemical products for industrial use.
Kao is involved in various business fields, including beauty care such as cosmetics, skin care and hair care products; human health care, covering functional health drinks and sanitary products; and fabric and home care products, such as laundry detergents and household cleaners.
