Initial capacity of 1,000 tpa planned at the first stage

Radici Plastics will start production of polyamide compounds at a new subsidiary in China by the end of the year. Making the announcement at the RadiciNovacips 25th anniversary celebration in Bergamo, Italy last week, the company said the exact date would depend on the timing of approval from the Chinese authorities.

Global account manager Cesare Clausi said that the step is being taken after “years of marketing research”. He added that China is a promising but competitive market for the company, with the total polyamide market in the country forecast to rise from 225,000 tpa in 2005 to 500,000 tpa by 2010. Cesare also presented forecasts for other engineering plastics in the Chinese market. Polycarbonate is expected to grow from 750,000 to 120,000 tpa by 2010, PBT/PET from 120,000 to 200,000 tpa and modified PPO from 40,000 to 70,000 tpa.

The expected growth in car production in China from 5.8m units in 2005 to 10m units in 2010 provides additional support for Radici’s decision to produce PA in the country, Cesare pointed out. Located 100 km north-west of Shanghai, the plant will have initial capacity of 1,000 tpa. Details of the products to be made at the new plant were not given, with Cesare saying only that the production “will be concentrated on nylon”.

Despite the move into production in China, Cesare said that there will still be a focus on Europe as the area in which Radici creates its new projects and products.