AkzoNobel announced that it is building a new powder coatings plant in Chungli, Taiwan with a €20-million ($23.6 million) investment.
The fully automated plant will have the increased production capacity to fulfill growing demand in the architecture, auto accessories, telecommunications, electronic components, furniture, domestic appliances, sports equipment and machine tools markets.
The powder coatings plant is expected to start operating in the third quarter of 2021.
Once operational, the new plant will bring the company closer to its overall energy and water sustainability ambitions. It’s expected to reduce energy consumption by 30%, increase the water reuse rate to 60% and achieve zero VOC emissions – in addition to creating a safer and healthier working environment.
“The COVID-19 pandemic has brought a lot of uncertainties to global markets,” said Fred Moreux, Director of Manufacturing for Asia at AkzoNobel. “Investing in a new plant in Taiwan at this critical time will help us streamline our supply chain while setting a new benchmark in the local paints and coatings industry.”
AkzoNobel’s multisite in Chungli already consists of manufacturing plants for powder coatings, decorative paints, packaging coatings and specialty coatings. The addition of this new powder coatings plant is leading Taiwan’s industry upgrade process to create significant production leverage and value.
“AkzoNobel has been in the Taiwan market for more than 40 years and is a known leader of its paints and coatings industry,” said Karen Yin, Director of Commercial Powder Coatings at AkzoNobel. “The new plant is driven by growing customer demand for tailored solutions and will consolidate our leading position.”