BASF, Hunstman and their partners have won approval for the construction work

BASF, Hunstman and their partners have won approval for the construction work

BASF, Huntsman and their Chinese partners have received approval from the Chinese authorities to extend their planned integrated isocyanates complex at the Shanghai Chemical Industry Park.

The capacity of crude MDI will be increased from 160,000tpa to 240,000tpa and the capacity of TDI from 130,000tpa to 160,000tpa. The complex will serve the rapidly growing Chinese PU market. Construction of the facility will start by the end of the year, with commercial production expected to begin in 2006. The total cost of the project is about $1bn (E870m).

BASF and Huntsman’s Chinese partners are Shanghai Hua Yi Company, Sinopec Shanghai Gao Qiao Petrochemical Corporation and Shanghai Chloro-Alkali Chemical Co. The companies have agreed to supply Bayer with crude MDI and TDI until Bayer’s own production is established. The Leverkusen firm has announced plans to increase MDI capacity in China in two stages. A facility for the production of polymeric and monomeric MDI from crude MDI is scheduled to be completed by 2006.

Bayer will start crude MDI production with an annual capacity of 230,000 tonnes in 2008. It plans to construct a 160,000tpa TDI production plant by 2009.