LANXESS Replaces Natural Gas With Hydrogen at Pigment Plant

LANXESS is advancing the decarbonization of its iron oxide pigment production at its Krefeld-Uerdingen site in Germany by replacing natural gas with hydrogen as a fuel for drying pigments. The specialty chemicals producer has installed a hydrogen burner at its spray dryer, making the facility one of Germany’s first large-scale industrial plants to operate continuously with hydrogen as a fuel.

The switch is expected to reduce LANXESS’s carbon emissions by approximately 6,000 metric tons per year. The initiative supports the company’s broader efforts to lower the carbon intensity of its manufacturing operations while demonstrating that hydrogen can be integrated into established industrial processes on a commercial scale.

The hydrogen used at the facility is generated through chlorine electrolysis at the neighboring Covestro plant. It is transported directly to LANXESS through a dedicated pipeline, allowing the company to access a local hydrogen supply without requiring long-distance transportation. The close integration between the two facilities is a major factor behind the project’s implementation.

LANXESS installed the hydrogen burner in late 2025 and progressively brought the system into operation. The equipment has been designed to run entirely on hydrogen and includes a dedicated hydrogen pipeline, a modified burner, upgraded measurement and control technology, and additional safety systems. The technological conversion replaces the previous natural gas-based drying process with a lower-greenhouse-gas alternative.

The project also highlights the benefits of the Verbund production model at Krefeld-Uerdingen. Shared infrastructure, short pipeline connections, established safety procedures, and close cooperation between industrial partners allow hydrogen to be supplied reliably to the pigment production facility.

LANXESS and Covestro have maintained a long-standing production partnership at the site. Covestro supplies nitrobenzene, which LANXESS uses as a raw material in iron oxide pigment manufacturing. Aniline generated as a byproduct is subsequently returned to Covestro, where it serves as an important feedstock for plastics production. The hydrogen project further strengthens this integrated production network by creating an additional pathway for resource-efficient and lower-carbon manufacturing.

LANXESS’s Inorganic Pigments business is among the world’s leading producers of iron oxide and chromium oxide pigments. Its products serve construction, paints and coatings, plastics, and specialty applications. The Krefeld-Uerdingen site is the company’s largest iron oxide pigment production facility globally and has manufactured these pigments for around 100 years.

The company also benefits from the Laux process, which provides efficient energy use and generates virtually no waste compared with alternative production methods. Combining this process with hydrogen-based drying could further improve the environmental performance of LANXESS’s iron oxide pigment portfolio.

Impact on Product & Chemical Commodity Prices

LANXESS’s hydrogen conversion should have a positive impact on the sustainability profile of iron oxide pigments, potentially strengthening demand from construction, coatings, plastics, and other customers seeking lower-carbon materials. However, the immediate effect on pigment prices is likely limited because the project affects one production facility and primarily changes its fuel source. For chemical commodities tracked by ChemAnalyst, hydrogen demand could receive a modest structural boost, particularly in industrial applications, while natural gas demand at the site should decline marginally. Lower fossil-fuel consumption could reduce exposure to gas price volatility. Overall, the move is more likely to influence long-term production economics and carbon premiums than trigger immediate commodity price changes.