Specialty materials and chemicals firm Arkema revealed plans Monday to add additional capacity for Kynar brand fluoropolymer at its plant in Changshu, China in response to strong demand for the product from the lithium-ion battery industry.
Arkema’s Changshu plant focuses on fluorine chemistry. The company has invested in several expansions at the site since the plant opened about a decade ago.
“Building and starting this plant in 2011 was a significant milestone for Arkema and continuing to grow this plant regularly is a source of great pride for the teams,” Erwoan Pezron, senior vice president, High Performance Polymers for Arkema, said in a statement. “We could not have taken such a step without the encouragement and support of our customers in the region.”
The company said it will boost capacity for fluoropolymer at the site by 35%, with the new capabilities coming online before the end of next year. In addition to meeting demand from lithium-ion battery producers, Arkema said the increased output will position the company to take advantage of opportunities in the water filtration, construction coatings, and semiconductor industries.
Arkema's increased capacity will position the company to take advantage of growth in the fluoropolymer market over the coming years. A recent forecast by Allied Market Research posits the global fluoropolymers market will increase in value from $7.7 billion in 2019 to $11.7 billion by 2027. The market is forecast to grow at a CAGR of 6.5% between 2020 and 2027.