Thermoplastic elastomer supplier Elasto already has two production facilities in Europe, but its third will be located further afield as the company has announced plans to begin compounding and marketing its plastics in China. The decision to build there comes just seven months after the TPE compounder signed a distribution agreement with another company for China.
Elasto is the former thermoplastic elastomers (TPE) business of the Vita Group, which it sold to Hexpol in April 2010. Hexpol is a compounder of thermoplastics and TPEs as well as a processor of wheels made from polyurethane, other plastics and rubber. The company is headquartered in Sweden but has a global footprint.
Elasto's TPEs, offered in hardness ranging from zero shore A to 65 shore D, are used in a wide range of applications including mobile phones, caps and closures, toys, automotive interior and exteriors, construction profiles and soft-touch grips. The compounder has two compounding operations in Europe, in Sweden and in England, and operates globally through distributors and agents. As we reported here, in Jan. 2011 Elasto announced the signing of a distribution agreement with Telko Shanghai to have the latter company develop sales of its products in China. Telko, part of Finland's Aspo Group conglomerate, was responsible for the market development and sales of Elasto's range of Dryflex thermoplastic elastomers based on SBS, SEBS, TPV and TPO. In answer to a question from PlasticsToday, Jill Bradford, Elasto's marketing manager, confirmed that her company still is working with Telko Shanghai and will not cancel the distribution agreement.