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October 29, 2013

Honeywell to build new production facility in China

Gerald Ondrey

Honeywell (www.honeywell.com) says it will establish a new manufacturing campus in Zhangjiagang, China, to support growing demand in Asia for energy technology and advanced materials produced by its Performance Materials and Technologies (PMT; Morris Township, N.J.) business.

The initial phase of the investment will include catalyst and adsorbents production capacity for Honeywell UOP, a PMT business that is a leading international supplier of catalysts, adsorbents, equipment and process technology for the petroleum refining, gas processing, petrochemicals and renewable energy industries.

“PMT continues to experience strong growth in Asia, driven by new process technologies and materials in demand in China and other parts of this key region,” says Andreas Kramvis, president and CEO of Honeywell Performance Materials and Technologies. “This investment is an additional milestone in expanding PMT’s global footprint and demonstrates our commitment to supporting our rapid business growth in China and the rest of Asia.”

The initial phase of the project will include a production facility for advanced catalysts for Honeywell UOP’s Oleflex process technology, which is used to produce propylene, a plastics building block. UOP has licensed Oleflex technology to 19 Chinese producers over the past three years as those producers work to meet strong demand for propylene and isobutylene at a time when global propylene supplies have tightened.

Compared with alternative technologies, Oleflex technology offers higher yields, lower production costs and higher investment returns, with the smallest environmental footprint. Honeywell UOP has licensed a total of 23 Oleflex units globally since 2011.

The initial phase of the Zhangjiagang project will also include production of adsorbents, expanding capacity for Shanghai UOP, a joint venture of UOP and Shanghai Huayi Group founded in 1988. Adsorbents are materials used in applications ranging from refining and petrochemical production to natural gas processing.

The more than 120-acre site is PMT’s first wholly owned manufacturing campus in China and is located in established, world-class industrial park in Zhangjiagang, which is located 85 miles northwest of Shanghai.

 

 

 

 

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