Chem-Trend, a provider in the development and production of mold release agents and casting lubricants, together with Klüber Lubrication, part of the Freudenberg Chemical Specialties business group, is investing in an expansion project at its Qingpu facility in China.
The Qingpu facility, located approximately 30 miles west of downtown Shanghai, opened in 2008 and currently produces process chemical specialties including release agents, specialty lubricants and other related manufacturing process aids. The expansion includes a new research and development center that will enable the company to develop distinct product solutions for customers in the region. The investment also includes training and administration facilities. There is also a plan to increase capacity at the manufacturing facility. An extended warehouse and additional bulk storage provisions are part of the investment as well. By the end of the expansion project, the Qingpu site is expected to have a 16-acre footprint.
The project is expected to take three years to complete and a total investment of more than RMB 150 million ($24 million). The new R&D center will provide areas for application testing and engineering, as well as special laboratories dedicated to release agents, process aids and lubricants.
"Customer proximity and hands-on customer service have always been at the core of our successful global growth," said Devanir Moraes, Chem-Trend president and CEO. "The new R&D center in Qingpu will enable us to better meet the ever-increasing requirements of our local customers for tailor-made answers to their specific manufacturing needs."
Since entering the Chinese market in the 1990s, Chem-Trend has steadily expanded its operations to support a variety of markets including automotive, conventional and renewable energy, electronics, advanced composites, textiles, packaging, footwear and construction.
"Our investment in Qingpu is part of our overall global growth strategy," Moraes said. "We are strategically entering and expanding in markets to meet the needs of our customers. Being in close proximity to our customers is an integral part of our value-adding service model. Having the ability to work closely with our customers on the shop floor of their operations allows us to deliver solutions that translate to market success for both them and us."
The expanded Qingpu site will become the largest Asian sales and manufacturing facility for both Chem-Trend and Klüber Lubrication.