JSP
Japanese plastic foam producer to build fourth expanded PP plant in China / Meeting rising demand from the automotive sector
The board of directors of plastic foam producer JSP International (Tokyo / Japan; www.jsp.com) recently passed a resolution to set up a new expanded polypropylene (EPP) subsidiary in Wuhan City, Hebei / China. The company expects to invest about EUR 8m in the 21,000 m2 facility, which is set to commence production in January 2017. JSP Plastics (Wuhan) will have a nameplate capacity of about 3,000 t/y of JSP’s proprietary “Arpro” and “P-block” EPP.
The decision to set up a fourth manufacturing plant in China – the company already has facilities in Wuxi, Dongguan and Chonqing – is set against the backdrop of the country’s rising automotive demand and local producers’ need to significantly lower vehicle weight to meet stricter fuel efficiency requirements. Another driver for Chinese EPP consumption is rising demand for home appliances. Potential applications in the latter segment include cushioning and packaging. In the automotive field, EPP is used in bumper and seat cores as well as interior parts, among others.
JSP decided on Wuhan as the base because of its proximity to many automakers’ operations, and the lower transportation costs to customers in central and southwestern China. Once the facility is commissioned, the company will be capable of producing 24,000 t/y of Arpro in China.
This is not the company’s sole EPP investment this year. In April JSP commissioned a new Arpro plant in Kita Kyushu / Japan – its third in the country.
The decision to set up a fourth manufacturing plant in China – the company already has facilities in Wuxi, Dongguan and Chonqing – is set against the backdrop of the country’s rising automotive demand and local producers’ need to significantly lower vehicle weight to meet stricter fuel efficiency requirements. Another driver for Chinese EPP consumption is rising demand for home appliances. Potential applications in the latter segment include cushioning and packaging. In the automotive field, EPP is used in bumper and seat cores as well as interior parts, among others.
JSP decided on Wuhan as the base because of its proximity to many automakers’ operations, and the lower transportation costs to customers in central and southwestern China. Once the facility is commissioned, the company will be capable of producing 24,000 t/y of Arpro in China.
This is not the company’s sole EPP investment this year. In April JSP commissioned a new Arpro plant in Kita Kyushu / Japan – its third in the country.
08.12.2014 Plasteurope.com [229938-0]
Published on 08.12.2014