Domo to Expand PA 6 Compounding in China

05.05.2022 - German polyamide specialist Domo Chemicals said it plans to significantly increase its PA 6 compounding capacity in China up to the end of 2023. As this is the fastest growing market for polyamides globally, the company based at Leuna said the expansion will help local manufacturers keep pace with emerging trends and create “innovative, high-performance and sustainable products and applications.”

Domo’s plans for China, which it said reflect the expected growth in automotive, E&E and industrial products, call for widening an existing plant in Jiaxing, Zhejiang, near Shanghai, as well as building an additional production facility in the same region. Both would be supplied with polymer from its European production.

The capacity upgrade is planned to take place in three phases. The first was completed at the end of March this year, when ouput capability at the existing compounding plant was increased by 6,000 t/y to 14,000 t/y. The new plant at Haiyan, which will cost around €14 million to build, will have a starting capacity of 35,000 t/y when completed in Q3 2023. The third phase, which will take capacity to 50,000 t/y, will be implemented  several years later, depending on the development of demand.

Domo said both the expanded and the new plant will use renewable energy wherever possible, and sustainable production will be supported by advanced water and air treatment technologies to reduce water consumption and CO2 emissions.

Looking at the future prospects for polyamide, the German company said global demand is “booming,” with current annual growth rates of up to 3%. The adoption of new-energy vehicles is expected to reach 45% globally by 2030. Additionally, demand is strong for miniaturized circuit breakers, contactors, plug switches and other components used by the E&E and industrial consumer goods industries.

In 2020, Domo picked up Solvay’s European PA 6.6 activities in a three-way deal that saw BASF take the international business. Since February 2022, with the expiration of the non-competition clause with BASF, the Leuna company has been able to use Solvay’s trademark Technyl for its PA 6.6 alongside its own brands.

Author: Dede Williams, Freelance Journalist