PolyOne to focus on China

23-Jun-05

US-based polymer processor and distributor PolyOne Corp, catering to processors of wire & cable, car, building, electric & electronics and food packaging industries, is focusing on Asia this year, specifically China. The company saw a 30-40% sales growth per annum in China over the past few years. While China accounted for about half of the company's sales in Asia last year, the company experienced a slowdown in America and Europe, as these markets are growing at a slower rate than expected. Currently, Asia makes up about 4% of its global sales. The company is expanding in the region with the opening of its plant in Shenzhen in southern China's Guangdong Province. The company is targeting almost a 12% growth in Asia this year with revenues of about US$40 million. The plant is likely to have a first-phase investment of more than US$10 million and an annual production capacity of 10,500 tons initially, which may double later. Most of its products will be manufactured for the domestic market. The plant is speculated to have a fuller range of products than those in Suzhou in Jiangsu Province and Shanghai, which are also wholly owned by South China, in which PolyOne has about a 4% share. PolyOne through its operations is also considered to step up materials sourcing in China for its global production and set laboratories and representative offices in northern and western China.