Evonik to build new alkoxides plant in Southeast Asia
Evonik Corp. is currently working on the construction of a new plant for the production of methylate in Southeast Asia to further strengthen its global alkoxides business. Alkoxides are predominantly needed as catalyst for biodiesel production as well as in synthesis applications in the pharmaceutical and agricultural industries. The size of the investment is in the mid double-digit million range. The investment is seen as a necessary next step in the strategy to expand the position as one of the world’s largest manufacturers of alkoxides.
“We already have production facilities in Europe and North and South America,” said Alexander Weber, global head of marketing and sales for Evonik’s functional solutions business line. “Asia is the missing piece in a global-supply network to regionally serve all relevant markets.”
The new capacity will be a modern, world-scale facility. It will satisfy the growing demand for alkoxides in this very dynamic region.
“We want to meet our customers’ needs in the long term, and this is also reflected in the planned production volume with which we can serve the Asian market,” Weber said.
The project is entering the basic-engineering phase following the completion of several feasibility studies, which will be closed in 2022. In this phase, the basic requirements for the plant are incorporated into preliminary construction plans and details on production and investment volumes developed further.
Evonik is currently producing alkoxides at three other locations globally in Rosario, Argentina; Mobile, Alabama (U.S.); and Lülsdorf, Germany. Due to regulatory reasons, the German alcoholate site needs to be shut down by end of 2027. Evonik is planning to secure the supply into the European markets after 2027 with a follow-up investment.