BASF on Monday announced plans to build a new production plant for emulsion polymers at its integrated "Verbund" site in Freeport, Texas.
The new plant will allow BASF to better serve the coatings, construction, adhesives, and paper industries by expanding the network of manufacturing locations and improve the backward integration of raw materials used in production, according to the company.
The new plant, which is expected to begin production in mid-2014, will create approximately 25 new jobs at the Freeport site.
"The new plant strengthens our position as a leading supplier of emulsions in North America and demonstrates our commitment to customers in the coatings, construction, adhesives and paper industries," said Derek Fairclough, senior vice president for BASF's dispersions and pigments business line in North America.
"This investment further supports our business growth strategy, especially in architectural coatings, where we are targeting significant growth with our range of innovative products and solutions."
The plant will manufacture acrylic emulsion polymers used for architectural coatings, construction chemicals, adhesives, and the paper chemicals industry.
"This investment demonstrates BASF's commitment to the regional market demand by paper and board manufacturers for these materials and supports our global strategy to be the preferred supplier of polymer emulsions for the coated paper and board markets," said Chuck Schmidt, senior vice president for BASF's paper chemicals business in North America.
BASF currently operates three emulsion polymer plants in North America in Monaca, Pennsylvania; Chattanooga, Tennessee; and Altamira, Mexico.
Building a plant in Texas broadens the supply network to better serve customers from a manufacturing location in the central-southern US, the company said.
BASF is also building new manufacturing facilities for emulsion polymers in India after opening new plants in South Africa during September 2012 and in China during November 2012.
The Verbund concept links production and energy requirements in an efficient manner, according to the company. BASF's Freeport site incorporates the concept, allowing it to maximize the production efficiencies of acrylic dispersions while helping to protect the environment and surrounding communities by reducing waste, cutting emissions, and keeping resource consumption and transportation to a minimum.