Evonik has announced that it has reached an agreement to establish a joint venture with the Chinese company, Wynca. Evonik Wynca (Zhenjiang) Silicon Material Co., Ltd. has officially started the construction of a new fumed silica plant in Zhenjiang, Jiangsu Province, China.
Plant to Operate in 2021
The new plant scheduled to become operational in 2021 with a projected annual output of 9,000 metric tons, will produce fumed silica marketed under the name
AEROSIL®, in order to fulfil the market demand for silicones, coatings and paints, modern adhesives and gel batteries in China.
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As a kind of Smart Materials, silica belongs to one of the four strategic growth engines identified by Evonik because of its rapid market growth and extensive applications. As our first fumed silica plant in China, the new plant in Zhenjiang will further improve the global production network of AEROSIL® and ensure a more solid supply for Chinese customers,” said Andreas Fischer, board member of Evonik Resource Efficiency GmbH at the groundbreaking ceremony.
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As leaders in different industries, Evonik and Wynca have a lot in common and are highly complementary in strategic concepts. Forming a high-end fumed silica project in Zhenjiang New Material Park through this strong alliance is in line with the business strategies of both sides,” said Jianhua Wu, Chairman of the Wynca Group.
JV to Achieve Perfect Resource Recycling
The joint venture will combine Evonik's advanced product technology with the leading local silicone industry value chain formed by Wynca, building a production facility for high valued AEROSIL
® fumed silica products by utilizing chlorosilanes from Wynca. Meanwhile, the by-product hydrochloric acid will also be fully utilized as a raw material for Wynca Zhenjiang Site. This integrated production loop is expected to make full use of by-products from each side and achieve perfect resource recycling and synergies among organic silicon monomer, chlorosilane and fumed silica production.
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Evonik regards Asia, especially China, as an important growth region. China is currently undergoing an overall industrial transformation and upgrade. These changes will generate significant market opportunities for Evonik. The establishment of the new plant will further expand our business presence in China’s fumed silica market. Meanwhile, it’s also our pleasure to work closely with Wynca as our strong local partner, and to jointly explore this attractive market,” emphasized Dr. Claas Klasen, President of Evonik’s Asia Pacific North region.
Fumed silica is an important high-tech nanomaterial with an annual market growth above GDP on a global basis. China is among the countries with the fastest growing market size and demand for fumed silica.
Source: Evonik