According to Lanxess, India is on course to become the third largest consumer market for high-tech plastics after the USA and China, driven by the automotive industry that is set to grow by more than 6 % per year. Global automakers, as well as their suppliers, are already active in India or are investing in new plants in the subcontinent. It is above all the growing middle-class in India that is driving the trend towards greater mobility.The automotive industry is the largest customer for Lanxess' Semi Crystalline Products (SCP) business unit, which produces Pocan and Durethan. These products represent a lighter-weight plastic alternative to metals. In addition, they enable carmakers and car parts suppliers to make savings through cheaper production and easier assembly, says Lanxess.The Jhagadia site is located between two of India's largest automotive hubs Pune and New Delhi, which are home to numerous plants operated by the company's customers. Excellent links to international ports will ensure a reliable supply of feedstock to the compounding facilities and fast delivery to customers outside India, says Lanxess.Including the new compounding facilities, Lanxess has invested to date about EUR 60 million in the 13 ha Jhagadia site. A new facility for ion exchange resins as well as a rubber chemicals plant both started up production in 2010. Lanxess currently employs around 230 people in Jhagadia. The Jhagadia site will strengthen SCP's presence in the Asia-Pacific region. The business unit is currently lifting capacities at its compounding plant in Wuxi, China, to approximately 60,000 t/y by mid-2011.