Kumho Mitsui Chemicals Finished MDI Facility Expansion in Yeosu
2012-08-31 [Source: chemicals-technology]
August 30, 2012-Kumho Mitsui Chemicals has expanded its Yeosu factory in South Jeolla Province, South Korea, to manufacture an additional 50,000tpa of methylene diphenyl diisocyanate (MDI).
This increased capacity is expected to help the company to meet the increasing demand for MDI from Asian automobile and home appliance makers.
Park Chan-koo, Kumho Petrochemical chairman, was quoted by The Korea Times as saying that Kumho Mitsui has a 200,000 ton-capacity production line that is enlarged by 50,000t.
"Kumho Mitsui Chemicals' MDI factory has now secured price competiveness which will put it on an equal footing with major global MDI businesses," Chan-koo added.
"Kumho Mitsui Chemicals will not be satisfied with the present and continue to expand our production capacity to become a global leader in the polyurethane business."
MDI is core material in polyurethane, which is used in many products because of its resilience and rubber and plastic properties.
In 2011, the company earned KRW 14tn ($123bn) from 5.6mt MDI produced that year, according to Kumho.
The company expects the MDI market to grow by around six to eight percent annually until 2020. The Asian market for MDI is also expected to grow by eight to ten percent.
Kumho Mitsui Chemicals made an investment in the facility last July and is anticipating earning KRW 150bn ($132m) more from the increased production capacity.
Kumho Mitsui Chemicals, which was founded in 1989, is a 50-50 joint venture between Kumho Petrochemical and Mitsui.