Saudi Basic Industries (SABIC) plans to set up resin and engineering plastic compound plants in India and China, as per Reuters. SABIC is the world's largest chemical producer by market value.
Since most of its major markets are led by China and India, the company will save on transport costs and benefit from the lower fixed production costs in China.
In May, SABIC announced a memorandum of understanding with China Petroleum & Chemical Corporation (SINOPEC) to build a polycarbonate production plant with an annual capacity for 260,000 tons, to be operational by 2015. The petrochemicals giant is also looking at opportunities to buy local companies.