Covestro Breaks Ground on New TPU Production Site in China

29.09.2023 - Covestro broke ground on its new thermoplastics polyurethanes (TPU) production site in Zhuhai, China, following the announced investment in February. It will be built in three stages and will have an expected maximum annual production capacity of 120,000 tons of TPU.

The first phase of construction is estimated for 2025 and will open with a capacity of 30,000 tons of TPU per year. TPU is a versatile plastic material used in applications such as sports shoes, IT devices, smart speakers, phone cases, automotive applications, and wind turbine blade protection. The initial investment for the first phase is in the mid-double-digit million euro range. The final phase for maximum capacity is expected to be completed in 2033. 

"We are excited to announce that the construction on our new TPU site commences. It shows our commitment to strengthen our production network for our Solutions & Specialties business entities overall and for the TPU business in particular,” said Andrea Maier-Richter, Head of TPU at Covestro. “It reinforces our position as one of the leading global suppliers of TPU and puts us right where important value chains are."

The final site will span 45,000 square meters and at maximum capacity will be Covestro's largest TPU site worldwide and is set to run on 100% renewable energy. To support sustainable solutions, TPU with the label "CQ" will be produced at the site, which indicates at least 25% of the material is produced from non-fossil raw material. 

“Together with recent investments in new plants for Elastomers, Polyurethane Dispersions and a production line for the mechanical recycling of polycarbonates in our site on the outskirts of Shanghai, this new site for TPU in southern China shall capture the robust growth of the core industries served by our Solutions & Specialties business entities in China, the region and worldwide,” said Holly Lei, President of Covestro in China.



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