Borouge’s Board Members Herbert Willerth and Gerd Lobbert joined BU Mobility Vice Presidents Hammer Harald from Borealis and Kevin Liu from Borouge at a visit to Jiangnan Mould & Plastic Technology Co. Ltd. in Shanghai, one of our most important automotive customers in China. Compounded polypropylene resins are already being supplied to Jiangnan from Borouge’s compounding plant in Shanghai and this high profile visit reflects our commitment to strengthening our business with them.
Our leadership was met by Jiangnan’s senior management and introduced to the successful business activities of Jiangnan thereby providing a deeper insight on the automotive market in China.
Jiangnan Mould & Plastic Technology Co. Ltd. was established in 1997, and soon became one of the biggest auto exterior component makers in Shanghai. The company has five operating plants and planning to have another two in different parts of China serving Original Equipment Manufacturers (OEMs) such as GM, VW, BMW, Mercedes, Chery, Hyundai and others. In 2010, the company consumed over 20,000 tonnes of compound polypropylene and Jiangnan was also awarded the best supplier for GM in China.
During the visit, the Borouge and Borealis team appreciated the organized, high disciplined plant operation at Jiangnan where all operators, supervisors and line managers can easily understand the status of work progress. The company depends on an economy of scale and cost effective strategy to be at the forefront of competition in the Chinese market. This excellence-driven company encourages its employees to provide creative ideas and inputs to keep the overall business of the company flowing. Their new plant in Beijing to support Mercedes-Benz will be completed within the next 12 months.
In line with customers and market expectations, Borouge is keen to make an increasing contribution to China’s projected industrial and infrastructural growth, specifically in the pipe, wire and cable, automotive, appliances and advanced packaging sectors. Borouge plans to further invest in China with the establishment of compounding plants, Research & Development Applications Centres and logistics hubs, aiming to support their customers with the best innovative plastics solutions in this key market.
Together Borouge and Borealis are specialized in supplying advanced polyolefin plastics to the leading global manufacturer in the automotive industry. The portfolio of products includes materials for exterior, interior and under the bonnet applications, such as bumpers, body panels, trims, dashboard, door cladding, climate control units, air intake manifolds as well as battery cases. Through close collaboration with the market, innovative technologies and an extensive product portfolio, Borealis and Borouge aim to established a leading position in the automotive markets across Europe, South America and Asia. There are strategically placed logistics hubs (in Belgium, Central Europe, China and Italy) and compounding facilities (in Itatiba and Triunfo in Brazil and Shanghai in China) to support these goals.
In 2010 China became the world’s largest automotive market with new passenger car sales totaling 13.8 million units. This industry represents a major opportunity for Borouge’s light-weight innovative plastics solutions with ongoing fuel price rises making lower fuel consumption a priority goal for car manufacturers. Lower fuel consumption also gives the benefit of reduced CO2 emissions and contributes to overcoming the pollution challenge confronting China’s urban environments. The Chinaplas 2011 exhibition which was held in Guangzhou, China, in May Borouge demonstrated the innovative solutions to the Chinese automotive industry.
During the visit to Jiangnan, Borouge confirmed its position that customer-driven innovation is the only way to achieve and sustain progress. Through foresight and focus on customer needs, Borouge will continue to provide innovative solutions that add real value throughout the automotive value chain.