Germany's Lanxess announces further 25 mln eur China investment

German chemicals major Lanxess AG, formerly a part of Bayer AG, today announced an additional 25 mln eur in investment in two China projects, a high-tech plastics joint venture and the relocation of its Singapore technology center. The company is investing 20 mln eur in a semi crystalline product business in Wuxi, which will produce high-tech plastics, and has invested 5 mln eur in a new technology center in Shanghai, company officials said at a press briefing.

The Shanghai technology center investment involves the transfer of its existing center from Singapore to Shanghai. On the Wuxi investment Lanxess board of management chairman Axel Heitmann said: 'Demand in China for high-tech plastics is growing at a double-digit percentage each year. Thanks to the new plant, we'll be increasing sales of high-performance polymers 'Durethan' and 'Pocan' by 50 pct in the next five years.' Around 20,000 tons per year of high-performance chemicals will be produced at the plant after commissioning in 2006, with the possibility for further expansion if demand merits, company officials said.