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Tuesday, 20 August 2019
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Markets & companies

Evonik and Thyssenkrupp Industrial Solutions grant license for HPPO Technology to China

Thursday, 8 August 2019

Evonik and Thyssenkrupp Industrial Solutions have agreed to grant a license for HPPO Technology to Zibo Qixiang Tengda Chemical Co. to produce propylene oxide.

Representatives of Evonik, Thyssenkrupp Industrial Solutions and Zibo Qixiang Tengda Chemical at the signing of the contract to license the HPPO technology. Source: Evonik.
Representatives of Evonik, Thyssenkrupp Industrial Solutions and Zibo Qixiang Tengda Chemical at the signing of the contract to license the HPPO te...

Corresponding agreements were signed by the parties in Guangzhou in China. In addition, Evonik has licensed the production of hydrogen peroxide for the exclusive supply of the propylene oxide plant to Qixiang Tengda. Furthermore, the companies have entered into a long-term agreement for the supply of the respective HPPO catalyst.

Important growth market for polyurethane

Propylene oxide is used mainly for the production of polyurethane foams, which are used in automotive parts, furniture upholstery, thermal insulation, coating materials, sports shoes, and other sports equipment. The global market for polyurethane is expected to grow with China being one of the most important growth markets. Tightening environmental regulations support the strategic focus of the Active Oxygens Business Line of Evonik, to further promote and expand the green HPPO Technology, including through licensing, on top of developing the traditional hydrogen peroxide business.

Up to 300 kmt of propylene oxide production

In the next few years Qixiang Tengda will construct a plant complex at the Zibo site (in China’s Shandong province), where up to 300 kmt of propylene oxide and the amount of H2O2 required for the HPPO process will be produced annually. The initial planning phase will start by the middle of August 2019. The plant is expected to come on stream in the first half of 2022.

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