Bayer to US$1.8 bln in petrochem complex in China

30-Mar-06

German petrochemical giant, Bayer AG, plans to invest US$1.8 billion in a petrochemical complex in Shanghai over the next four years. The focal point of the petrochemical complex will be a plant to produce the polyurethane raw material diphenylmethane diisocyanate, with an annual capacity of 350,000 tons by 2008. This venture will be the largest and most modern polyurethane operation in the world. A further focus of investment at the site will be a plant to produce another polyurethane raw material, toluene diisocyanate, scheduled to be completed in 2009. With this, Bayer will be in a strong position to meet demand for polyurethanes in China and in Asia, where demand expected to achieve annual growth of up to 8 percent up to 2010.