BASF’s Zhanjiang site intends to supply neopentyl glycol to Guanghua

● Guanghua plans to build a high-end polyester resin plant for powder coatings with an annual output of 100,000 tons in Zhanjiang

● Collaboration will meet growing demand for low-emission powder coatings in China and the Asia-Pacific region

BASF and Zhejiang Guanghua Science and Technology Co., Ltd. (hereinafter referred to as “Guanghua”) signed a letter of intent to supply neopentyl glycol (NPG) produced at BASF’s Zhanjiang integrated base to Guanghua. This agreement marks an important milestone in the long-term cooperative relationship between the two parties .

Guanghua is a well-known polyester resin manufacturer in China’s powder coating industry. It plans to build a high-end polyester resin plant for powder coatings with an annual output of 100,000 tons in Donghai Island, Zhanjiang Economic and Technological Development Zone, where BASF is building a world-class Large-scale NPG plant with an annual capacity of 80,000 tons.

Vasilios Galanos, Senior Vice President of BASF and responsible for the Intermediates Business Unit in the Asia Pacific Region, said: “We are very pleased that Guanghua Co., Ltd. has set up a factory with us. This will help strengthen the long-term cooperative relationship between the two parties. We are confident that this This strategic move will bring synergies beneficial to both parties, including enhanced cooperation and supply stability, faster delivery, access to shared resources, and lower costs. In addition, this partnership will meet the growing demand for environmentally friendly powder coatings in China and the Asia-Pacific region. ”

Sun Jiefeng, chairman of Guanghua, said: “We are full of expectations for BASF’s Zhanjiang integrated base, especially the base will set a new benchmark for clean energy use and energy conservation and emission reduction in the petrochemical industry. We will make full use of our own advantages, relying on the world’s leading The NPG supplier, combined with the strategic partnership with BASF and Zhanjiang’s unique geographical location, makes us confident in the planned expansion of the 100,000-ton polyester resin project, further reducing VOC emissions, and continuing to contribute to the blue sky and white clouds. ”

With the new NPG plant at the Zhanjiang Integrated Base expected to be put into operation in the fourth quarter of 2025, BASF’s global NPG annual production capacity will increase from 255,000 tons to 335,000 tons, strengthening BASF’s leading position as a global NPG manufacturer. After the completion of the new plant, it will be BASF’s fifth NPG plant after Ludwigshafen, Germany, Freeport, Texas, USA, and Nanjing and Jilin, China.

NPG is an intermediate mainly used in the production of powder coating resins, and has been particularly successful in coating applications for the home appliance and construction industries. Due to the low volatile organic compound (VOC) content of powder coatings, it can help users meet VOC emission standards. Compared with liquid coatings, VOC emissions can be reduced by up to 50%. NPG is also used in the manufacture of lubricants, plasticizers and pharmaceuticals.

BASF and Guanghua signed a letter of intent for NPG supply

Front row left to right:

Lin Hanping, Senior Vice President of BASF, Head of New Integrated Base in China

Yao Chunhai, General Manager of Guanghua Co., Ltd.

Back row left to right:

Vasilios Galanos, Senior Vice President of BASF, responsible for the Intermediates Business Unit in Asia Pacific

Hong Tao, Deputy Secretary of the Joint Party Committee and Deputy Chief Commander of the Special Headquarters for the Construction of Key Projects in the Advanced Manufacturing Industry of Fenyong High-tech Zone, Zhanjiang Economic Development Zone

Sun Jiefeng, Chairman of Guanghua Co., Ltd.