SABIC Strengthens Its Presence in China
Year:2008 ISSUE:13
COLUMN:COMPANY FOCUS
Click:210    DateTime:May.06,2008
SABIC Strengthens Its Presence in China    
By Jiang Lijuan   

Saudi Basic Industries Corporation (SABIC) is further strengthening its leadership position in China, the world's most important and fastest growing polymers market.  SABIC is the largest exhibitor at Chinaplas, the most important plastics trade show in Asia. "SABIC Innovative Plastics was launched last year following the acquisition of GE Plastics in September, a move which takes us one step closer to realizing our strategic vision of becoming the world's preferred chemicals supplier,' Mr. Al-Mady said.
     China is a strategic market for SABIC Innovative Plastics' growing business as well as one of its key investment markets. The primary mission for SABIC Innovative Plastics is to maintain its position as the leading provider of technology and applications for the market. In China today, there are SABIC's engineers and scientists designated to work on programs at China Technology Center (CTC) in order to provide high quality service for customers in China. With a annual revenue of US$1.2 billion, SABIC Innovative Plastics focuses on developing special applications and products to cater imminent demands from customers in China and help customers differentiate their products in the competing market.
   SABIC Innovative Plastics has offices in 14 cities in China, and has established two compounding plants in China (Shanghai and Nansha) and a specialty film & sheet facility in Zhongshan, Guangdong province.
    On April 17th, 2008, SABIC Innovative Plastics showcased breakthrough materials that have been optimized for chrome plating. SABIC Innovative Plastics has a long history of working side-by-side with China's automotive OEMs and suppliers to help them achieve competitive differentiation through new design options.
   "The use of a chrome effect is a great way to give passenger vehicles a more upscale look, and the best approach today is the use of metallized plastic - for simplicity, weight savings, and design freedom," said Eric Herman, general manager, Greater China Automotive, "To help China's auto industry leverage the popularity of chrome effects with optimal results, SABIC Innovative Plastics is working with local customers to develop materials that deliver the elegance of chrome effects without all the challenges."
    The company also introduced its first thermoplastic film made without the use of brominated or chlorinated flame-retardants. EFR 735 film demonstrates how SABIC Innovative Plastics works closely with customers to create environmentally responsible materials that comply with both existing and upcoming electronics industry standards.
    China's thriving economy is driving demand across multiple industries for fast access to high-performance plastics and value-added development services. SABIC Innovative Plastics also announced a multi-pronged strategy to meet these customer needs through expansion of local expertise and product fulfillment. The company is adding significant production capability to its plant in Pudong, Shanghai:  a new facility housing four extrusion lines that will begin operations this month. SABIC Innovative Plastics will also expand its China Technology Center, located here, with the creation of a new Center of Excellence focused on notebook computers. The company's continued investment in application development and production resources will provide customers in Greater China and Asia with faster procurement and outstanding technical support.
     The new extrusion facility will produce a range of resins for the automotive and electrical/electronics sectors. It is the first SABIC Innovative Plastics site created using Lean manufacturing design, an approach is that completely different from traditional models. Lean manufacturing allows for the production of small lot orders, the flexibility to change production very quickly, and enables a continuous process for manufacturing and delivery to the customer, reducing cycle time for producing materials.

Future Focus

SABIC Innovative Plastics will establish a new, world-class Research, Development and Customer Technology Center (CTC) in Shanghai by the end of 2010. The new facility will also serve as the Asia Pacific headquarters for SABIC Innovative Plastics. It will be the focal point for the company's rapid growth and expansion in Asia, and will house global R&D activities supporting the needs of global customers. This new facility investment clearly reaffirms SABIC Innovative Plastics' commitment to customers in the region with expanded capabilities beyond those offered at the current CTC. It will also be the center of SABIC Innovative Plastics' future application development activities here.

SABIC Innovative Plastics Milestones in China
2008    Expansion of the Shanghai compounding facility and opening of the notebook
     PC Center of Excellence at its China Technology Center.
2007    Introduces new compounds.
2006    Expansion of the Plastics Nansha compounding facility.
2004    Introduces a new optical display film.
2003    China Technology Center and Customer Innovation Center open in Shanghai.
2002    Acquisition of Zhongshan Plastech plant.    
1999    Establishment of Pudong compounding plant.
1996    Establishment of Nansha compounding and film extrusion plant.