Roehm Chemical confident in China market expansion

Roehm Chemical is confident in expanding its operations in China, citing the country's comprehensive and sophisticated manufacturing industry chain, favorable business environment, and efficient communication mechanisms as key factors driving their decision, said a senior staff of the company during a recent media interview.

Roehm Chemical (Shanghai) Co Ltd, a branch of the global company Roehm, is a leading producer of methyl methacrylate chemicals with diverse applications in sectors such as paints, coatings, automotive taillights, medical products, aircraft windows, household appliance displays, and road markings.

Established in 2008 with a substantial investment of 250 million euros ($285.25 million), Roehm Chemical's integrated production base spans over 100,000 square meters and houses four large-scale production units, covering the entire production chain from raw materials to synthetic products.

Since becoming an independent entity in 2019, Roehm Chemical has steadily expanded in Shanghai, investing in new production lines and establishing an Asian technical center to meet the growing market demands. The company's expansion includes the poly methyl methacrylate (PMMA) plant in the Shanghai Chemical Industry Zone, which began operations in October 2023.

Li Dejun, head of Methacrylate Resins Asia at Roehm Chemical, emphasized the increasing importance of China and the Asian market for the company, driven by robust local market demand. "We are continuously researching and evaluating and plan to make additional investments in several business units, particularly in talent and innovation," Li said.

Highlighting China's efficient manufacturing industry chain, Li underscored the benefits of integrating the supply chain and optimizing cost structures, with innovation and growth central to the company's medium to long-term planning.

Capitalizing on the rapid growth of new energy vehicles in China, Roehm Asia Technology Center, located in the InnoGreen area of the Shanghai Chemical Industry Park, has played a pivotal role. The center, operational since 2021, is one of Roehm's three major research and development hubs globally.

"As the demand for sophisticated and high-end materials in new energy vehicle components rises, our innovative materials, meet these requirements. Currently, one in every four cars in China uses our materials, driving double-digit business growth," Li said.

Additionally, Roehm Chemical is collaborating with local automotive companies to develop fire-resistant coatings for new energy vehicle power batteries, a project currently in the research and testing phase.

Li commended the local government's support, particularly during challenging international trade environments. "In addition to providing preferential policies in taxation and investment, the Shanghai Chemical Industry Zone Management Committee has facilitated discussions to mitigate the impact on our production," Li said.

Looking ahead, with new production lines coming online in the near future, Roehm Chemical plans to increase research and development investments, seize market opportunities actively, and drive high-quality business growth in Shanghai, Li added.

Xia Miao contributed to this story.