Cabot China to build JV carbon black plant
Cabot (China) Ltd. has entered into a joint venture agreement with Risun Chemicals Company, Ltd. The wholly-owned Cabot Corporation subsidiary holds a 60 per cent equity interest in the joint venture, and on March 15 the two companies’ first shared undertaking was announced: Cabot and Risun are to erect a carbon black manufacturing facility in the Chinese city of Xingtai, some 250 miles south of Beijing. The plant is scheduled to be commissioned in early 2013 and will produce approximately 130,000 tonnes of carbon black annually with the potential for expansion to 300,000 tonnes. Advanced emissions control technology and energy recapture will be utilised at the new facility, Cabot notes.
“Cabot has been a leader in the China carbon black industry for many years,” stated Patrick Prevost, Cabot president and chief executive officer. “This investment builds on our strong position in China, where demand for carbon black continues to grow. Cabot has been a successful supplier in China for more than 20 years. Our investment will further build our presence in the region.”
Dave Miller, Cabot Core Segment executive vice president and general manager, explained that the new facility will enable the manufacture of products not readily available in China. “We are committed to meeting the changing needs of tyre producers in this important region,” he said. “Our customers know they can rely on us to provide a long-term, secure source of high quality material in China and provide innovative solutions for their needs.”
“We are grateful for the strong support from the Xingtai and China governments for this joint venture project,” added Dr. Xinsheng Zhang, president, Cabot China Ltd., and Cabot president, Asia Pacific region. “We are also excited to partner with Risun Chemicals Company, Ltd., on this new project. Risun has been an important supplier to our current China operations and this joint venture will enhance our relationship, helping ensure supply reliability for the Xingtai facility and providing an outlet for some of Risun’s key products.”
Yang Xuegang, chairman Risun Chemicals Company, Ltd., said, “this joint venture reflects the strength of our longstanding relationship with our partner, Cabot Corporation. We look forward to building on the success of our relationship with this state-of-the-art facility. It is truly a beneficial project for both companies.”
Cabot Corporation is one of the world’s leading suppliers of carbon black to the tyre industry. The company offers traditional ASTM grades for cost-driven applications plus elastomer composites and specialty grades for value-added applications, such as its Regal 85, Ecoblacks and CRX series products.