The group has signed a letter of intent for development with China's Jida New Materials

The group has signed a letter of intent for development with China's Jida New Materials

Degussa has signed a letter of intent with China’s Jida New Materials covering joint development, production and marketing of high-temperature polymers.

Degussa said the agreement will strengthen the company’s high-performance polymers business unit, which includes production of polymers such as polyamide 12 and polybutylene terepthalate (PBT). It is part of the company’s E1.3bn turnover specialty polymers division.

Jida New Materials, based in Changchun, Jilin province, is already involved research, development and production of polyether sulfone resin (PES), PEEK polymers and compounds. The group said it has 100 customers in China, as well as sales in Germany, Japan, UK, US, Switzerland, Korea and Taiwan. It claims to be the second largest of three worldwide PEEK producers after Victrex in the UK and ahead of Gharda Chemical in India.

The deal with Degussa was signed in the presence of Chinese prime minister Wen Jiabao and German chancellor Gerhard Schrцder. High-temperature polymers are typically used in the automotive, aviation and electronics industries.