North America based multinational speciality chemicals and MDI-based polyurethane manufacturer, Huntsman Corporation partners with Korean polyurethanes major, KPX Chemical, to launch a joint venture named KPX Huntsman Polyurethanes Automotive Co., Ltd. (KHPUA) with the aim to cater to the polyurethane demand in the Korean automotive sector.
The joint venture will enable the designing of customized polyurethane solutions that offer top-class acoustics, light-weighting, and better comfort to Korean automotive clients. KHPUA, scheduled to commence operation at KPX Chemical’s Ulsan plant by the October end, will integrate Huntsman’s proficiency in MDI-based polyurethane production with KPX’s rich experience in polyol technology.
Polyurethanes are polymers that are typically produced from polyols and diisocyanates monomers. Polyurethanes find applications in a wide range of end-user industries like furniture (in mattresses, quilt, rest areas), automotive (in seats and dashboards), construction (in insulations and acoustic absorbers) and other household commodities.
As per ChemAnalyst, the global polyurethane market in 2020 was valued at over USD 42 billion and is expected to see a further rise with a CAGR of over 4% in the upcoming years with the expanding construction and automotive sectors being the major drivers for its growth. The addition of capacities in South Korea will aid in providing surplus polyurethane supplies to the automotive and other downstream sectors that will enable these sectors to flourish in a more sustainable fashion. The enhanced production volume is expected to stabilize the polyurethane prices in the future. This venture will further fortify the hold of Huntsman Corporation over South Korea market.