LANXESS increases production for prepolymers in Brazil

·	New production plant at the site in Porto Feliz
·	Combined local production, application development and technical service center
·	Launch in the first half of 2019
·	Investment of single-digit million Euro amount 

Cologne – Specialty chemicals company LANXESS is building a new, state-of-the-art facility for the production of prepolymers at its site in Porto Feliz, Brazil. The Urethane Systems business unit is investing a single-digit million Euro amount to expand its prepolymer production capacity, which is scheduled to come on stream in the first half of 2019. Current production at the Rio Claro site, about 200 kilometers away, will be terminated. 

LANXESS will thus be managing its entire polyurethane business for South America from Porto Feliz. “South America is an important cornerstone in our global network and we are committed to the Brazilian and South American markets. Our new investment will enable us to sustainably offer local customer-specific technical service, excellent product quality, and fast and reliable product supply,” says Dr. Markus Eckert, Head of the Urethane Systems business unit. 

LANXESS Urethane Systems business unit is a systems provider to the global PU industry with expertise in cast elastomers, coatings, adhesives and sealants. The portfolio includes conventional and low free isocyanate prepolymers, and special aqueous polyurethane dispersions (PUDs). Furthermore catalysts and curing agents for cast elastomers, and technologies for coatings, adhesives and sealants are offered to design full systems to meet customer needs. A special focus is placed on solvent-free, monomer-free, and easy-to-use blocked systems. LANXESS Urethane Systems operates production facilities and application development centers in all major economic regions, including Brazil, the USA, India, China, Australia, Italy and England.

LANXESS is a leading specialty chemicals company with sales of EUR 9.7 billion in 2017 and about 19,200 employees in 25 countries. The company is currently represented at 74 production sites worldwide. The core business of LANXESS is the development, manufacturing and marketing of chemical intermediates, additives, specialty chemicals and plastics. Through ARLANXEO, the joint venture with Saudi Aramco, LANXESS is also a leading supplier of synthetic rubber. LANXESS is listed in the leading sustainability indices Dow Jones Sustainability Index (DJSI World and Europe) and FTSE4Good.

Cologne, 	May 17, 2018
mfg		(2018-00035e)

Forward-Looking Statements
This company release contains certain forward-looking statements, including assumptions, opinions, expectations and views of the company or cited from third party sources. Various known and unknown risks, uncertainties and other factors could cause the actual results, financial position, development or performance of LANXESS AG to differ materially from the estimations expressed or implied herein. LANXESS AG does not guarantee that the assumptions underlying such forward-looking statements are free from errors nor does it accept any responsibility for the future accuracy of the opinions expressed in this presentation or the actual occurrence of the forecast developments. No representation or warranty (expressed or implied) is made as to, and no reliance should be placed on, any information, estimates, targets and opinions, contained herein, and no liability whatsoever is accepted as to any errors, omissions or misstatements contained herein, and accordingly, no representative of LANXESS AG or any of its affiliated companies or any of such person's officers, directors or employees accept any liability whatsoever arising directly or indirectly from the use of this document.

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