Petrotahlil - INEOS is to move forward with plans for a 600,000 tonne/year acrylonitrile-butadiene-styrene (ABS), to be located near polystyrene (PS) capacity it operates in eastern China, the producer said on Thursday.
Signalling that chemicals sector appetite for growth in China remains strong despite the substantial slowdown the country has seen in the wake of the trade war with the US, the company will develop the greenfield facility in Ningbo, China, with a reported investment value of $800m.
INEOS is to develop the project near two PS units it acquired last year, with construction to begin in 2020 and completion expected by 2023.
“China is the biggest ABS market in the world,” said INEOS Asia Pacific president Steve Harrington.
"This new investment will give us a tremendous opportunity to provide our customers in the region with locally produced ABS grades.”
The deal is part of a wider cooperation agreement between INEOS and the Ningo Municipal People’s Government, signed on Thursday, underlining the company’s focus on expanding its footprint in eastern China.
Follow us on twitter @petrotahlil