Borealis and Borouge expand global polyethylene and semicon capacity

Borealis and Borouge expand global polyethylene and semicon capacity

By: ICN Bureau

Last updated : May 26, 2025 5:37 pm



Borealis completes major upgrade of its semiconductive (semicon) compounding assets in Antwerp, Belgium, to meet surge in demand for compounds for high-end cable applications


As the global shift to renewable energy accelerates, electricity grid infrastructure needs to keep pace. Borealis and Borouge are responding with a significant expansion of their global capacity for cross-linked polyethylene (XLPE) and semiconductive (semicon) compounds—supporting customers to deliver the power cables essential to distribution and transmission grids.

By the end of 2027, the two companies will have doubled their ability to serve the most demanding cable applications, including innovative solutions for 220 kV subsea, extra-high voltage alternating current (EHVAC), and high-voltage direct current (HVDC) systems. Within five years, they will have increased XLPE and semicon production capacity at a rate twice as fast as the projected growth in global demand for power cables.

This expansion program is a direct expression of Borealis and Borouge’s “Building for the Future” commitment. By 2040, solar and wind are expected to account for more than half of global electrical capacity, with offshore wind playing a major role. This shift is essential to decarbonizing electricity generation and achieving long-term sustainability in the global energy system.

Progress is already underway on two major asset investment projects. In Europe, a key milestone has been reached with the completion of a major upgrade to semicon compounding assets in Antwerp, Belgium— that also covers Borealis’ XLPE operations in Stenungsund, Sweden. Alongside increased capacity, Borealis is enhancing its quality assurance processes to further eliminate risks and better serve these sensitive applications—so customers can execute critical projects with confidence.

In the Middle East, a 100,000-metric-ton capacity expansion at the XLPE 2 unit at the Borouge 4 facility in Ruwais, Abu Dhabi, is on track for completion by the end of 2025.  As a co-investment between Borealis and ADNOC, the project will produce XLPE compounds using Borealis’ proprietary technology to meet rising demand across Asia and the Middle East.

“These capacity expansions are a concrete demonstration of our in action,” says Craig Arnold, Borealis Executive Vice President Polyolefins, Circular Economy Solutions and Base Chemicals. “They enhance our capacity to deliver advanced materials—at scale and in the right locations—so we can stay ahead of our customers’ evolving needs.”

Together, these investments build on more than € 1 billion invested in wire and cable assets over the past two decades.

renewable energy electricity grid infrastructure Borealis Borouge polyethylene semiconductor semicon compounds

First Published : May 26, 2025 12:00 am