Sinopec, Mitsui Chemicals form petrochemical joint venture
Mitsui Chemicals, Inc., Tokyo, Japan and China Petroleum & Chemical Corp. (Sinopec), Beijing, China announced formation of a new equal partnership joint venture company, Shanghai Sinopec Mitsui Elastomers, Co., Ltd., to manufacture and distribute EPT, or ethylene-propylene-diene terpolymer, according to a Mitsui press release.
The two companies conducted joint feasibility studies following the signing of a Letter of Intent in December 2009 and received approval from the Chinese government to establish a joint venture company.
The joint venture company will adopt state-of-the art metallocene catalyst technology and build one of the world''s largest and most advanced EPT plants in China''s Shanghai Chemical Industry Park.
The rapid expansion of China''s automobile industry and development of its social infrastructure, including railways, are expected to significantly increase demand for EPT used in these industries. The joint venture company will target early establishment of manufacturing and distribution to meet needs of a rapidly growing Chinese market.
EPT, which has good resistance to heat/cold, UV rays, and chemicals, in addition to good electric insulation and other superior properties, is widely used in automotive parts, electric cables, and in other industrial materials.