LyondellBasell adds polypropylene compounder SJS Plastiblends in India

"This acquisition underscores our strategy of investing in growth projects that provide a competitive advantage in targeted markets and a strong return on assets," said Bhavesh (Bob) Patel, CEO and chairman of the management board of LyondellBasell.

India represents the fourth largest growth market for automobiles globally with 3 million new vehicles produced each year. According to IHS, India's automotive market is expected to continue growing by 6% to 8% annually through 2021. Additionally, the World Bank has predicted India's GDP to grow at a rate of 8% by 2017.

The Aurangabad compounding plant has an annual production capacity of approximately 12,000 metric tons (26 million lb). In addition to the already existing product lines, the facility will produce LyondellBasell's Hostacom glass fiber-reinforced, mineral filled and unfilled colored grades as well as Hifax high impact thermoplastic olefins. 

These products are used in the manufacture of automotive parts, home appliances and other applications.

LyondellBasell is the world's largest producer of PP compounds with an annual capacity of 1.2 million metric tons (2.4 billion lb). LyondellBasell has supplied the Indian market through imports and tolling arrangements since 2009.