Borealis and MCC agree to improve PP compound supply for the automotive industry

Borealis AG and its US subsidiary, Borealis Compounds LLC, have entered into manufacturing and supply agreements with affiliates of Mitsubishi Chemical Corporation (MCC) to improve the supply of polypropylene compounds (PP/CP) to the automotive industry in Europe and the US.

The agreements are intended to aid all companies in meeting demand and enhancing the competitiveness of their automotive customers, through localized production and supply of high quality, high-performance PP/CP materials.

High performance PP/CP materials are widely used in the production of exterior and interior automotive components, including bumpers, instrument panels, door trim panels and other interior applications, to meet the manufacturing performance, weight-saving and fuel reduction demands set by global automotive manufacturers.

Borealis will use its proprietary Borstar technology to manufacture high performance, speciality polypropylene compounds in accordance with a formula developed by Mitsubishi Chemical Europe GmbH. This formula is licensed by Japan Polypropylene Corporation (JPP), a joint venture between MCC and Chisso Corporation.

Borealis Group and MCC Group both are well established in the global automotive industry in several regions. Borealis Group has PP/CP Facilities in Europe and Brazil (through Joint Ventures between Borealis AG and Braskem S.A.) and MCC Group has PP/CP Facilities in Japan, US, China, Thailand and India.