Allnex invests in production facility in Thailand

Allnex, a global manufacturer of coating resins and additives, has unveiled plans to expand its production footprint in Asia-Pacific with the construction of its first Sag Control Agent (SCA) production facility in Rayong, Thailand. The investment reflects the company’s commitment to strengthening regional supply chains and supporting the rapid growth of the automotive coatings market in APAC, the largest automotive market globally. 

Scheduled to begin operations in January 2028, the facility will feature dedicated reactors for producing SCA resins, which are critical components in automotive OEM coatings. With their exceptional sag control functionality, these resins enable superior appearance in high-gloss clearcoats for car bodies and plastic automotive parts. This investment aligns with allnex’s strategy to meet increasing demand for sustainable and high-performance solutions in the region. 

Supporting regional growth and innovation 

SCAs are a cornerstone of allnex’s automotive portfolio, and the company has maintained production exclusively in Bergen op Zoom, the Netherlands, for over 40 years. As APAC has emerged as the largest SCA market, driven by rising car production and stricter appearance requirements, this new facility addresses the need for proximity of supply, shorter lead times, and enhanced responsiveness to customer needs. 

Ruben Mannien, Senior Executive Vice President APAC at allnex, highlighted the strategic importance of the investment: “By localising SCA production in Thailand, we are responding directly to customer needs for greater supply security, shorter lead times, and faster access to innovation. This facility will allow us to meet future market demand and support growth ambitions in Asia-Pacific.” 

Advancing sustainable coating solutions 

The Rayong site will also serve as a hub for allnex’s latest SCA innovations, including next-generation high-solid, low-bake, and sustainable “green SCA” solutions. These technologies aim to improve productivity, reduce energy consumption, and enable coating manufacturers to differentiate themselves in competitive markets. 

The decision to locate the facility in Thailand follows a thorough evaluation of potential sites across APAC. Rayong was selected for its existing infrastructure, technical expertise, and proximity to major automotive manufacturing hubs such as China, India, Korea, and Southeast Asia. 

Construction is expected to be completed by the end of 2027, ensuring readiness to meet anticipated market growth. With this investment, allnex reinforces its position as a leading innovator in automotive coatings while supporting sustainability and efficiency in the sector. 

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