June 23, 2010
Taipei, June 23, 2010 (CENS)--To sharpen global competitive edge and overcome material supply shortage in Taiwan, TSRC Corp., Taiwan`s leading manufacturer of synthetic rubber, plans to build new joint-venture plants in China and India.
TSRC president W.H. Tu says these new joint-venture plants in China and India will start to be built in the second half of this year and come online sometime in 2013, with the added capacity to enable TSRC to challenge US$1.55 billion in consolidated sales by 2014.
TSRC said it has cooperated with India`s state-run oil company and Japan-based Marubeni Corp. to set up a joint-venture firm in Panipat of Haryana province, India. The firm will budget US$185 million to build a plant to make SBR (styrene butadiene rubber), which will begin mass production at the end of 2012 or the beginning of 2013. TSRC will hold 30% of the plant, with a designed annual output of 120,000 tons, and India`s state-run oil company 50%, with the remaining 20% going to Marubeni.
Tu noted India relies on imported rubber totaling between 100,000 and 120,000 tons yearly. The nation`s increasing demand for automobile tires and footwear generates promising outlook for the rubber industry.
TSRC has launched a 50-50 joint-venture with the Germany-based Lanxess Group to set up a NBR plant in Nantong of Jiangsu province, at a total investment of US$50 million and designed annual output of 30,000 tons. One year after coming online, the plant will contribute US$110 million to US$120 million to TSRC`s annual sales.
TSRC currently derives 60% of total production capacity in China with the remaining 40% in Taiwan.
(by Ben Shen)
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