Supply of Polycarbonate Compounds and Blends Expanding in U.S.
Growing demand for high-quality materials for the automotive, electronics and healthcare industries in North America has prompted a major downstream supplier of adhesive & sealant raw materials to expand it’s U.S. production lines and infrastructure. Covestro is expanding its site in Hebron, Ohio to manufacture customized polycarbonate compounds and blends and significantly expand its capacity in the Solutions & Specialties business for the American market.
“This investment in our U.S. compounding plant is an important component of our ‘Sustainable Growth’ strategy. With this expansion, we can meet our customers’ growing demand for specialized polycarbonate materials, grow together with our customers, and strengthen our position as a leading provider of polycarbonate materials in North America,” says CTO Thorsten Dreier. “The move also aligns with our strategy to produce in the region for the region, to manufacture close to our customers and ensure reliable supply.”
The company reports that the capacity expansion is an important step to meet the growing demand for high-quality materials for the automotive, electronics and healthcare industries in North America. “To be successful in these markets, you need the right portfolio, consistent quality, and supply reliability, as well as solution-oriented technical expertise,” says Lily Wang, head of the Engineering Plastics Business Entity. “The expanded production capacity for differentiated polycarbonates enables us to better serve our customers’ complex needs for high-quality, high-tech materials with individualized properties.”
Covestro already has an established R&D center in Pittsburgh, and is now doubling down on its U.S.-based compounding capability. In the future, both facilities will work even more closely together to drive the technology transfer from lab to industrial production to support major transformation processes, such as the electrification and automation of mobility, sustainable developments and digitalization according to Covestro.
“This investment, which follows our recent announcement of a 40 Million Dollar investment in our R&D capabilities in Pittsburgh, underscores how critical our U.S. sites and the U.S. market are to Covestro’s global strategy,” says Samir Hifri, chairman and president of Covestro LLC. “The expanded capacity of our polycarbonate compounding capabilities in Ohio will both help us better supply our customers as well as represents a commitment to our employees, the Hebron, Ohio community, and the U.S. market as a whole.”
Construction of the new production lines is scheduled to begin in 2025, with operations starting by the end of 2026.
Source: Covestro