AkzoNobel doubles packaging in China

AkzoNobel, coatings and chemicals company, is doubling its annual production capacity with the expansion of its industrial coatings site in Songjiang, near Shanghai, in China.

The €14m (AUD 21.4m) investment adds production lines for packaging coatings and epoxy and polyester resins. Work began in 2012; the site is now up and running. AkzoNobel says it is the largest of its kind in the region, with 300 staff, and will serve growing consumer demand in a number of key packaging markets.

In the packaging space AkzoNobel makes internal and external coatings for food, beer and beverage and aerosol cans; it also provides printable barrier coatings for paper cartons, flexible packaging adhesives and inks for printing on metal.

Ab Ghosh, managing director of AkzoNobel’s industrial coatings business, says, “We are pleased to have started commercial production at the expanded Songjiang site.

“The extended capabilities and new product lines will not only help us to better serve customers in the country, but will also allow us to supply resins for our own local production of coil and packaging coatings.”

Conrad Keijzer, member of the executive committee for performance coatings, adds, “China remains one of our most important growth markets.

“By expanding capacity at our Songjiang site we are well positioned to capture the ongoing demand from consumer and construction markets.”

The multinational currently employs more than 7,400 people in China across its paints, coatings and specialty chemicals businesses, including 500 in research and development. In 2013 it generated revenues of €1.6bn (AUD 2.4bn).

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