AkzoNobel and China-based Quangxi CAVA Titanium Industry have signed a partnership deal to manufacture and distribute titanium dioxide, a raw material used in the manufacturing of coatings and paints. Financial terms of the deal were not revealed.
As per the deal, a new titanium dioxide facility will be developed in Qinzhou in order to fulfill AkzoNobel's increasing demand for titanium dioxide in the Asian market. Moreover, demand for titanium dioxide is expected to increase in the Chinese market.
Quangxi CAVA Titanium Industry was recently formed for the production of titanium dioxide. At present, the company is working on the design and development process of a titanium dioxide facility at an industrial location in Qinzhou. The facility, with a production capacity of 100,000 tons, is slated to begin operation in the beginning of 2014.
Due to its opacity and brightness, titanium dioxide is broadly utilized as a white pigment. The annual global consumption of pigmentary titanium dioxide in the paper, plastics and coatings industries is nearly five million tons.
The Chairman at Quangxi CAVA Titanium Industry, Ke Genxi commented that the strategic collaboration provides vast opportunity to further expand and integrate the company’s business portfolio.
Source: http://www.akzonobel.com