New BASF Coatings site in Russia one of Europe's most modern production facilities

First international paint manufacturer with its own production facility in growth market Russia

31-Jul-2008

As the first international paint manufacturer to operate in Russia, BASF Coatings has now marked the launch of operations at its new production site in the country at a ceremony. The new facility at Pavlovskij Posad, 60 kilometers east of Moscow, has an annual production capacity of 6,000 tonnes of paints (basecoats and clearcoats). Production capacity can be expanded to over 20,000 tonnes at any time. With this site, one of Europe's most modern facilities, it can now supply the automotive industry in the growth market of Russia locally and thus promptly. At the Pavlovskij Posad site a staff of 50 will be employed in production, the quality test lab, the warehouse, the workshop and administration.

The latest figures prove that the Russian market is booming. For instance, in the first six months of 2008, Russia led the number of new registrations in Europe - ahead of Germany. Russia is already considered to be one of the world's four largest growth markets and in the coming years, will be expanding. This will make it Europe's second strongest national economy, after Germany. "These statistics, as well as the fact that all of the key carmakers, including the Asian OEMs, are either already represented in Russia or will be establishing their presence there shortly, prompted us to make this investment," said Juan Ximénez-Carrillo Gerber, head of BASF Coatings' Automotive OEM Coatings unit for Europe, addressing the employees and representatives of the government and authorities attending the opening ceremony for the new facility. The new site's products and processes attest to the successful combination of quality, environmental protection and ecology. The first batches of the colors Milky Way and Quarz have been produced for customer AvtoVAZ, who manufactures the Lada at its Togliatti site. They and the first clearcoat filled at the site are both examples of the high standards of quality, Ximénez-Carrillo Gerber added.

"Our next task involves expanding our existing successful customer relations and winning lots of new customers for our company. Our preliminary work and our achievement to date give me reason to be very optimistic," said Semen Belyakov, head of BASF Coatings in Russia. And of course the production numbers will be developing in line with this. "We are well prepared for the future and will respond to our customers' needs promptly," added Ximénez-Carrillo Gerber.

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