Sumitomo Chemical Asia PTE, a group company of Sumitomo Chemical, is constructing a $140m new solution styrene-butadiene rubber (S-SBR) manufacturing plant in Singapore.
Sumitomo announced plans to build the S-SBR plant in the Merbau area of Jurong Island in November 2010 because of its geographical advantage, stable procurement of the raw material butadiene, as well as relationships with existing businesses in the region.
S-SBR, which is manufactured by utilising the company's proprietary production process technology and advanced polymer modification technology, is used to supply tyre manufacturers in Asia, Europe and the US.
The plant, which will have an annual production of 40,000t of speciality rubber, is scheduled to be completed in June and expected to begin commercial operations during the fourth quarter of 2013.
Due to the rise in demand for synthetic rubber, the company is also planning to build an additional plant to increase production.
"The company's activities in Singapore encompass not only manufacturing, but also headquarter functions and talent development," said Singapore Trade and Industry Minister Lim Hng Kiang, who participated in the plant's groundbreaking ceremony.
"With cumulative investments of over $3bn, Sumitomo Chemical is the largest Japanese investor on Jurong Island," Kiang added.
Companies like Asahi Kasei, Lanxess and Zeon have also made a series of other synthetic rubber investments in Singapore.
Sumitomo Chemical is also involved in various sectors, including basic chemicals, petrochemicals and plastics, IT-related chemicals, health and crop sciences, and pharmaceuticals.
