PPG Marks Completion of Plant in China
PITTSBURGH — PPG Industries and Henan Billions Chemical Co. Ltd. held a ceremony to mark the completion of Henan Billions’ titanium dioxide (TiO2) manufacturing and research facility in the Henan Province of China.
Scheduled to begin production in the first quarter 2015, the facility will manufacture significant volumes of TiO2 using a chloride-based process. The 366,000-square-meter plant is expected to produce up to 100,000 metric tons of TiO2 per year and has capabilities to expand capacity. PPG intends to use TiO2 manufactured at the new facility in the production of paints and other coatings. Additionally, the new site features a 12,000-square-meter enterprise technology center, which will enable close collaboration by the two companies to accelerate development, testing and qualification of next-generation chloride-based TiO2 from the newly commissioned plant.
Attending the ceremony from Henan Billions were Chairman of the Board Xu Gang, Deputy Chairman of the Board Tan Ruiqing and General Manager Han Jianhua. Attending the ceremony on behalf of PPG were Viktoras Sekmakas, Executive Vice President; Charles Kahle II, Chief Technology Officer and Vice President, Coatings Research and Development; and Stephen Lampe, Vice President, Purchasing and Logistics.
“PPG values its partnership with Henan Billions and is pleased with the additional resources the new facility will provide for both companies. The pre-production batches at the facility have scaled up well, and we are in the final stages of qualifying commercial quantities of product. With the quality demonstrated to date, PPG plans to significantly increase its purchase of TiO2 from the facility,” Kahle said. “This facility and our partnership with Henan Billions exemplify PPG’s commitment to securing the global supply of titanium dioxide needed to support our business.”
Completion of the facility follows an agreement established in 2012 between PPG and Henan Billions under which PPG licensed certain chloride-based technologies to Henan Billions. PPG also established a long-term supply agreement to purchase TiO2 from Henan Billions.
China-based Henan Billions Chemicals Co. Ltd. produces and sells titanium dioxide and zirconium. The company is located in Jiaozuo City, Henan Province, and had 2011 sales of about $300 million. Its shares are traded on the Shenzhen stock exchange.