BASF Opens Second Polyurethane Systems Site in Russia

With a second Russian polyurethane systems site, BASF strengthens its worldwide network of close to the customer PU System Houses. In spring 2012, the applications technology center near St. Petersburg will start operations which will provide polyurethane customers with comprehensive local sales and technology services.

Like the System House in Nishnekamsk, which went into operation in 2000, this site will also be a part of the joint venture with the Russian company OAO Nishnekamskneftechim. This means that BASF can draw on local polyol production in Russia, and be a reliable partner for its customers and a sustainable supplier of PU products. With 38 System Houses worldwide, as well as production sites for the main precursor PU products, BASF can reliably supply its global customers from local production sites.

"With this investment into a second Russian site we show our local customers that we want to be their preferred partner and support their growth by having regard for special local requirements," stated Wayne T. Smith, President BASF Polyurethanes. "This is the systematic implementation of our successful worldwide strategy of having sites that are close to the customer which will strengthen our leadership position in the polyurethane market."

Only recently BASF opened PU System Houses in Poland and Dubai and has started the construction of two further sites in Tianjin and Chongqing (China).

The applications technology center near St. Petersburg will provide comprehensive technical services and sales know-how for modern polyurethane systems to quickly and competently serve customers from a wide range of businesses. The focus is on the automotive and construction industries as well as on CASE (Coatings, Adhesives, Sealants, Elastomers). The building will house a modern technology center and office space alongside storage areas and test laboratory.

Dr. Uwe Hartwig, Senior Vice President BASF Polyurethanes Europe, stressed: "This additional site will further strengthen our partnership-based customer relations in Russia, particularly in the St. Petersburg region. In this way we have created a perfect basis for our customer's success in a strongly growing market for polyurethane applications; and we are considering further expansions of the site in the long term."

Through its existing System House in Nishnekamsk, BASF already has a strong market position in polyurethane system solutions. BASF sees significant potential for growth especially in the automotive and construction segments of the market for applications using high quality polyurethane system solutions.