Asian Region Experiences Polycarbonate Project Activity Growth

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Researched by Industrialinfo.com (Industrial Information Resources, Incorporated; Houston, Texas). The Asian region will see an increase in production capacity of polycarbonates over the next two years, as many companies in the region and abroad are developing new sites, adding new production units, or increasing production capacities at existing units. The 2005 expenditures for industrial projects in Asia related to the production of polycarbonates is estimated at over $1 billion. These projects will be ongoing through 2005 and some into 2007 before their completion.

Click on the image at right to view the Asian Polycarbonate Project TIV by Region Chart.

Asian companies such as Asahi Kasei, Formosa, Mitsubishi, LG Chem, and Teijin Chemicals, as well as international chemical producers, including Bayer (Lanxess) and GE Plastics, are all investing money in this downstream product to take advantage of high output of olefins and aromatics that are expected for Asia between 2005 and 2010. The largest concentration of new on-stream products will be flowing from the three multi-billion dollar complexes that are expected to come online in China sometime during 2005. It is because of this booming growth in major industries in Asia that attracts investors and their dollars to further development in this region. Asia is expanding output and diversity of products, especially in automobile construction and assembly, electronics, clothing, and food packaging. A large percentage of these goods will be consumed domestically, but they will also be exported to markets all over the world, allowing Asia to rise economically, which is an area in which only Japan has been included until now.

Click on the image at right to view the Asian Polycarbonate Project Index.

China has the highest dollar value to be invested in these plants, approximately $450 million, and the largest collective planned output capacity, at 450,000 metric tons a year. Taiwan comes in second, with an estimated investment of $280 million, with 200,000 metric tons a year output, closely followed by Thailand, with a dedicated $200 million for 150,000 metric tons a year. Last is South Korea with only one $50 million, 65,000-metric-ton-a-year facility being planned.

Polycarbonate is made from bisphenol and is used to make polymers, which in turn are used as the cornerstone in the production of plastics and rubbers. It is used in eyeglasses, because of its light weight, durability, and scratch resistance. It is mixed with rubber to strengthen its toughness and fortify it against high temperatures, as well as retaining its toughness at lower temperatures. Polycarbonate is applied to technologies such as covers and housings for power distribution, connectors, mobile phones, lighting, and battery boxes.

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