LEVERKUSEN, Germany - With its first acquisition in China, specialty chemicals company LANXESS AG is expanding the Asian business of its Inorganic Pigments business unit. LANXESS is acquiring two production units from its previous cooperation partner, Jinzhuo Chemicals Co. Ltd., one of which it had already leased since 2007. The acquisition will expand LANXESS's global production capacity for inorganic pigments by five percent.
With this acquisition, LANXESS also safeguards the raw material supply for its pigment-mixing unit in Shanghai, China, thereby becoming completely independent of local suppliers.
With this acquisition, LANXESS also safeguards the raw material supply for its pigment-mixing unit in Shanghai, China, thereby becoming completely independent of local suppliers.
Demand for the Inorganic Pigments business unit's products is rising sharply as a result of the ongoing construction boom in China. In the next few years, growth rates of around five percent are expected, especially in Asia.
