Cabot expands leadership position in the Chinese fumed metal oxides market
WUHAI, China & BOSTON--(BUSINESS WIRE)--Sep. 23, 2019--
Cabot Corporation today announced the grand opening of its newest fumed silica manufacturing facility, located in Wuhai, Inner Mongolia, China. The state-of-the-art manufacturing site adds approximately 8,000 metric tons of annual fumed silica capacity to Cabot’s global network and will serve the rapidly growing fumed silica market in China. With the opening of this facility, Cabot builds on its leadership position and becomes the largest provider of fumed silica in the Chinese market.
The project, announced in September 2016, is a joint venture with Inner Mongolia Hengyecheng Silicone Co., Ltd (HYC). Cabot owns an 80% equity interest in the world-class facility and brings advanced fumed silica production technology and a strong leadership position in the rapidly growing region. HYC provides a long-term reliable source of feedstock and will operate in a closed loop fashion with Cabot, thereby maximizing byproduct streams and eliminating waste.
In accordance with Cabot’s commitment to operating to the highest safety standards, the full construction phase of the Wuhai facility was completed without a single recordable injury amongst employees and contractors.
“I am extremely proud of the remarkable achievements we have already made at the Wuhai facility, having completed construction ahead of schedule and with a strict focus on safety. The grand opening of this facility is a key milestone in executing on our ‘Advancing the Core’ strategy,” explained Sean Keohane, president and chief executive officer, Cabot Corporation. “We thank everyone involved in the construction, as well as HYC and the Wuhai municipality for their support. We look forward to contributing to the Wuhai community.”
As the urban population in China continues to expand, there will be increased demand in construction, automotive and infrastructure development, all of which are applications in which fumed silica is utilized due to its performance capabilities, durability and versatility.
“This strategic expansion of our fumed silica manufacturing capabilities will allow us to better reach our customers in a part of China where we expect to see significant growth and development in the coming years,” said Jay Doubman, senior vice president and president, Performance Additives, Cabot Corporation. “We look forward to pioneering innovative new solutions in fumed silicas by pairing our new world class Wuhai manufacturing facility with the technical expertise at our Asia Technology Center in Shanghai to help our customers drive toward a more sustainable future.”
Cabot was the first chemical company in China to be certified by auditors from the international registrar, BSI, in accordance with the stringent Responsible Care® 14001 (RC14001) standard, the globally recognized gold standard for safety & health, environmental and security management systems established by the American Chemistry Council’s (ACC) Responsible Care® program. The Wuhai facility will complete the RC14001 certification process in the near future.
Cabot has operated in China for more than 30 years, and currently operates manufacturing sites in Jiangxi, Shanghai, Tianjin and Xingtai as well as its Asia Technology Center in Shanghai.
To learn more about Cabot’s innovations in fumed silicas visit cabotcorp.com/fumedsilica.
ABOUT CABOT CORPORATION
Cabot Corporation (NYSE: CBT) is a global specialty chemicals and performance materials company, headquartered in Boston, Massachusetts. The company is a leading provider of rubber and specialty carbons, activated carbon, inkjet colorants, masterbatches and conductive compounds, fumed silica and aerogel. For more information on Cabot, please visit the company’s website at cabotcorp.com.
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: Statements in the press release regarding Cabot's business that are not historical facts are forward looking statements that involve risks and uncertainties. For a discussion of such risks and uncertainties, which could cause actual results to differ from those contained in the forward looking statements, see "Risk Factors" in the Company's Annual Report on Form 10-K.
View source version on businesswire.com: https://www.businesswire.com/news/home/20190923005825/en/
Source: Cabot Corporation
Erin Anthony, Corporate Communications
Steve Delahunt, Investor Relations