Kordsa Expands Polyester and PP Output
Turkish company Kordsa, a tire cord specialist, broke ground last month on its polyester expansion project in Izmit, Turkey.
The additional 7,000 t/y of polyester yarn production is expected online some time during 2018 and is designed to meet growing demand in tire reinforcement. Kordsa said it reinforces one out of every three car tires and two out of every three aircraft tires manufactured worldwide.
At the same time, the company held a groundbreaking ceremony to start construction of an additional monofilament PP line. Capacity details for this project were not disclosed.
Called Kratos, the PP monofilament is a new type of synthetic fiber reinforcement for the construction market. Kordsa said that following its launch in 2018, Kratos will offer sustainable and durable high performance with a cost advantage over alternatives on the market. The fiber will be marketed both in Turkey and Europe.
The project follows an investment of $30 million that the company announced in 2016 to upgrade its polyester plants in Turkey and Indonesia. Kordsa added 6,500 t/y of capacity in Citeureup, Bogor, Indonesia, and 6,000 t/y in Izmit.
Last month, the subsidiary boosted its presence in North America and increased its reinforcement technologies through the acquisition of two advanced composite technology firms in the US. Kordsa agreed to pay around $100 million to buy Fabric Development Inc (FDI) and Textile Products Inc (TPI) to strengthen its offering in the commercial aviation industry. According to Kordsa, the aviation industry is expected to grow by at least 10% per year over the next five years.
The acquisitions are expected to complete in the first quarter of 2018, subject to regulatory approval and other closing conditions.
