Kemira starting up production of pulp and paper chemicals in China

15-Nov-2005
Kemira will make an investment in a production plant for paper chemicals in Yixing, PRC China. The unit will be built in connection with Kemira's existing water treatment chemicals plant, located ca. 160 km from Shanghai. The production of paper chemicals will be started during the first half of 2006. Including the investments in production at the Group's Yixing site during next year, Kemira's total investment in the production of pulp and paper chemicals and water treatment chemicals in Yixing will total at the level of CNY 60 million ( EUR 7 mill.) The investment will strengthen the position of Kemira Chemicals (Shanghai) Co., Ltd on the expanding market for pulp and paper chemicals in China. Kemira will step up its sales of pulp and paper chemicals and water treatment chemicals in China many times over during the next few years. The infrastructure, administrative services and utilities of the existing water treatment chemicals plant will be used also for the new production line for paper chemicals. The Yixing plants will employ close on 200 persons after the investment. The main products of the new paper chemicals plant will consist of specialty chemicals for the pulp and paper industry. "The volume of paper production in China comes up to approx. 50 million tonnes a year. It has been estimated that production figures will rise steadily for next ten years. A sharp rise in demand for paper chemicals is expected with the anticipated transition towards finer paper qualities and following the increasing number of modern, big paper machines", says Juha Kuikka, MD, Kemira Chemicals (Shanghai) Co., Ltd.

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