Covestro Acquires HDI Sites in US and Thailand to Expand Footprint

Germany’s Covestro is making a strategic acquisition to bolster its high-end coatings business. The company has agreed to purchase two production sites for hexamethylene diisocyanate (HDI) derivatives – one in Freeport, Texas and one in Rayong, Thailand – from Vencorex, a subsidiary of PTT Global Chemical. HDI derivatives are key ingredients in polyurethane-based coatings, adhesives, and sealants, and the deal will give Covestro additional dedicated capacity in both the U.S. and Asia-Pacific regions.

With this move, Covestro strengthens its position in the aliphatic isocyanates market and advances its “Sustainable Future” strategy of growing in profitable, specialty segments like coatings and adhesives . “The acquisition of these two former Vencorex sites fits perfectly with our portfolio and strategic goals,” said Covestro CFO Christian Baier, noting that while the company is exercising cost discipline in the short term, it is also investing in long-term competitiveness through targeted expansions. The financial terms were not disclosed, but Covestro expects to finalize the takeover by the end of 2025 after regulatory approvals. The added HDI production will enable Covestro to better serve global customers with advanced coating raw materials, amid rising demand for durable and low-emission finishes in automotive, industrial and construction applications.