Covestro to build new TPU Application Development Center in Guangzhou

Covestro will start construction of its new Thermoplastic Polyurethane (TPU) Application Development (AD) Center for Asia Pacific in Guangzhou. This is the second time the company has announced an investment in TPU in a short period of time: just last year, Covestro started construction of its largest TPU plant in Zhuhai.

In order to bring Covestro closer to its customers, the now announced Application Development Center aims to combine technical acumen with innovative solutions and customized services for key applications such as films (PPF), specialty cables, consumer electronics, footwear and other extrusion and injection applications.

The center will start construction at the end of 2024 and is expected to be operational in 2025. The center will be equipped with advanced equipment to meet complex market needs and leverage local resources and networks to streamline talent and administrative management.

Dr. Andrea Maier-Richter, Executive Vice President and Global Head of Thermoplastic Polyurethanes at Covestro, said: "The establishment of this new Application Development Center in Guangzhou is of great strategic significance for us, as we will jointly leverage the dynamic Asia Pacific region, especially the Chinese market, with our customers. The center will also help develop more sustainable TPU solutions, demonstrating our commitment to innovation for the benefit of our valued customers and partners."

"Together with our continued investment in the world's largest TPU production site in Zhuhai, we will soon be running two powerful engines in two major cities. This highlights our company's continued commitment to growth, especially to TPU innovation capabilities."

With the existing Changhua Regional R&D Center, the world's largest TPU production site under construction in Zhuhai, and the upcoming Guangzhou Asia Pacific Application Development Center, the complementary advantages of the three locations are expected to form stronger regional synergies.

"The new Application Development Center in Guangzhou will play an important role in collaboration with key TPU industry clusters in China and Asia Pacific, especially in consumer electronics and specialty extrusion applications," said Junhui He, Head of Sales and Market Development for TPU in Asia Pacific at Covestro.

"We are not only close to these industry clusters, but also at the forefront of listening to customers, partners and the industry value chain. By strengthening our application development capabilities, we can better sense and respond to nuances and changes, and guide our solutions and services with speed, agility and customer-centricity."