Japanese firm sets up engineering plastics compounding plant in Brazil

Strong growth in the Brazilian auto market has prompted Japanese company Toyobo (Osaka) to establish a compounding base in the South American country for compounding of engineering plastics. The approximately 5,000-tonnes/yr compounding facility will start up in the city of Americana, in the state of Sao Paulo in August 2014. It will be located at the company’s existing textile subsidiary Toyobo do Brasil Industria Textil Ltda. It will compound resins including polyester (PET) and polyamide (PA).

Last fiscal year, Brazil’s automotive market climbed to 3.8 million units sold, thus placing the country in fourth place among global car markets. Further expansion in the size of the middle-income class is forecast. Japanese automobile manufacturers are closely following the expansion of the Brazilian market and are preparing plans for expanding their production capacity in this new market, focusing especially on small cars. Toyota already operates three plants in Brazil, while Nissan is also active there and plans to quadruple its production capacity to 200,000 vehicles by 2014....

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