Kuraray to build polyvinyl alcohol resin plant in Texas
Kuraray America is planning to invest CNY20bn ($255m) into a new polyvinyl alcohol (PVA) resin plant in La Porte, Texas, US, with production expected to start in September 2014.
Funding has already been granted by the State of Texas and Harris County Commissioners Court in the form of the Texas Enterprise Fund and Harris County Tax Abatement respectively.
The resin plant will have an annual capacity of initially 40,000mt annually, which is planned to be raised to 60,000mt each year by around 2016.
The new facility is being set up to meet the PVA demand in North America, Central and South America regions.
Keiji Murakami, Kuraray senior executive officer, commenting on the project, said: "We hope to respond to Central and South American demand which is growing at an annual rate of four to five percent."
Kuraray has also said it aims to reduce raw material costs for the PVA resin, by using US shale gas, as the output of shale gas has been expanding.
The company also has a PVOH production capacity of 124,000mtpa at Okayama in Japan and 40,000mtpa in Singapore, and is planning to expand the production capacity at its Frankfurt site in Germany, from current 24,000mtpa to 94,000mtpa by early 2014.
Earlier in May 2012, Kuraray also agreed to purchase MonoSol, a producer of PVA films.
Kuraray America, a subsidiary of Kuraray, produces and sells ethylene vinyl alcohol copolymer resin and thermoplastic elastomers, as well as importing and exporting chemical and textile products.