CABOT Corporation and Risun Group announced the completion and commissioning of their new joint venture carbon black manufacturing facility in Xingtai, Hebei Province, China.
The partner firms, which broke ground on the new facility in April 2012, invested approximately US$140 million in the new facility, with Cabot owning a 60% equity interest.
Cabot brings technology advancements while Risun provides the feedstock and energy integration capabilities with its current operations.
The site’s Phase I manufacturing capacity will be 130,000 metric tonnes of carbon black per year. As a result, Cabot’s overall carbon black manufacturing capacity in China increases by 25%. The addition of Xingtai solidifies Cabot’s position as the world’s leading producer of carbon black. The new plant also employs advanced emissions control and energy efficiency technology to minimise environmental impact and simultaneously reduce energy consumption.
Patrick Prevost, Cabot president and CEO says, “This new facility is a part of our long-term commitment to the tire industry as we seek to meet our customers’ needs across the globe. Through the use of state-of-the-art technology in our new Xingtai plant, we will be able to supply high-performance carbon black products to the Chinese and Asia-Pacific markets. Through our investment in process equipment and infrastructure we are also able to increase our energy efficiency and minimize our environmental footprint.”
According to Cabot, the Xingtai plant will utilise state-of-the-art proprietary technology to produce the company’s ultra-reinforcing products VULCAN 9, VULCAN 10H and VULCAN 10HD, that are key materials for producing high-performance tyres.
“As global demand for high-performance reinforcing materials continues to grow within the tyre industry, our product portfolio and R&D efforts ensure that we can provide our customers with the right products, in the right place, at the right time,” said Dave Miller, president, Reinforcement Materials Segment. “We are continually working to stay ahead of market demands, and the new Xingtai plant will enable us to deliver our most highly reinforcing carbon black products while strengthening our position in China.”
“We are very proud of this new modern facility and our continued relationship with Cabot,” said Yang Xuegang, Chairman and President of Risun Group. “Our new manufacturing site will be a welcome addition to our local economy, as it will create new job opportunities for local workers, introduce new technology, establish a new sustainable business model, and bring a sophisticated management system. This joint venture will become a role model when China is entering a new phase of development and we look forward to working with Cabot to help make this facility a great success.”