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LyondellBasell's new PP compounding plant in Dalian, China.
LyondellBasell's new PP compounding plant in Dalian, China.

LyondellBasell announced the successful startup of a new 20 kiloton per year polypropylene (PP) compounding plant in Dalian, China.

This is the company's third facility in China, strategically located to serve the growing automotive market in North China region.

"With China's automobile market poised for significant growth over the next several years this facility allows us to better serve our customers, reduce shipping time and logistics costs while delivering a strong return for our shareholders," said LyondellBasell CEO Bob Patel.

Currently in China, LyondellBasell operates PP compounding plants in Suzhou and Guangzhou. Dalian is an important strategic location for the company as the North China region is home to a number of major automobile manufacturers including BMW, Daimler, GM, Volkswagen, Audi, Nissan and Chery.

"This plant will supply our customers with the innovative products they need to produce more efficient and comfortable vehicles and allow us to maintain our leadership position in the automotive sector," said Richard Roudeix, LyondellBasell Senior Vice President, Olefins & Polyolefins, Europe, Asia and International.

LyondellBasell stated that its PP compounds significantly contribute to improved fuel efficiency and the ability of automobile manufacturers to comply with strict environmental standards for car interiors. For example:
- Vehicle weight can be reduced by high-flow materials, allowing a reduction in wall thickness without compromising mechanical properties;
- Components displaying a visual metallic effect can be molded-in-color for paint-free exterior applications;
- Soft touch PP compounds provide a pleasant experience in door panels, trims and handles for interior applications;
- Materials containing low volatile organic compounds (VOCs) and low odor for use in car interior components that meet strict environmental standards and protect the health of the passengers; and,
- Low density talc-filled compounds that provide a lightweight alternative for both interior and exterior applications.

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