Kuraray Asia Pacific Pte. Ltd. has announced of investing US$ 140 million to set up a new Ethylene vinyl alcohol copolymer (EVOH) plant at Jurong Island, Singapore in order to firm its position as the market leader.

Globally, the compamy expects 5%-6% annual growth in demand of EVOH due to increased standards of living in emerging economies. Moreover, increasing regulations concerning packaging materials and demand for environmentally friendly materials is also a reason for expansion.

The new plant will have a front-end capacity of 36,000 tonnes per year and a back-end capacity of 18,000 tons per year. The front-end process will be constructed with a capacity of 36,000 t/y with a view to future expansion. The back-end process is divided into two phases, with the first phase being implemented at this time. The operation will start by end 2026.

Kuraray currently produces 103,000 tonnes of EVAL annually across Japan, Americas and Europe. It is planning expansions in Americas and Europe.