Dow and Aksa Announce Formation of Joint Venture for Carbon Fiber and Derivatives

The Dow Chemical Company, through its wholly-owned subsidiary Dow Europe Holding BV, and Aksa Akrilik Kimya Sanayii A.Ş., a world-leading acrylic fiber company, today announced the official formation of DowAksa Advanced Composites Holdings BV (DowAksa), a joint venture (JV) to manufacture and commercialize carbon fiber and derivatives. Aksa and Dow had previously signed a definitive agreement to form the JV on December 20, 2011.

DowAksa will develop and globally market a broad range of products and technical service support in the rapidly expanding carbon-fiber composites industry. The JV will have a particular focus on bringing solutions to market that reduce overall costs, thereby enhancing economics and driving adoption in a broader array of markets. Emphasis will be on bringing cost-effective solutions to industrial market applications for energy, transportation, and infrastructure globally.

Very strong and lightweight, carbon-fiber based materials are used in a variety of applications in growth industries, where weight savings, emissions reduction, durability, and energy efficiency are key performance factors. Currently, the carbon fiber composites industry is estimated at USD $10 billion globally and is expected to reach USD $40 billion by 2022.
Aksa’s carbon fiber which is the output behind the R&D’s success, has been being produced since 2009 in the Yalova Factory. The JV will expand on existing carbon fiber production assets in Yalova, Turkey, and will capture growth by creating a large-scale, integrated production capability for the manufacture and supply of advanced carbon fiber technologies.
Aksa and Dow each hold a 50 percent stake in the JV, which will finance its growth through cash flow from operations and financial institutions.

Source: Dow