Eastman Chemical Fills the Resin Gap

Eastman Chemical Company (Kingsport, Tenn.), through its Chinese subsidiary, Eastman (Shanghai) Chemical Commercial Co., Ltd., has entered into an exclusive, long-term agreement with West Tech Chemical Ltd. under which West Tech will build and operate a manufacturing facility in YunFu, in China's Guang Dong province, to produce rosin derivatives and resin dispersions to support Eastman's current and future customer needs in the Asia Pacific region.

The applications and markets for the rosin ester products include hot melt adhesives for bookbinding and packaging, chewing gum, woodworking adhesives and non-woven construction adhesives.

"This agreement demonstrates Eastman's commitment to serving our customers in the Asia Pacific region and to maintaining our broad product line and global presence as a leading supplier to the adhesives and polymer modification industries," said Damon Warmack, vice president and general manager for Eastman's coatings, adhesives, specialty polymers and inks business. "Our goal is to provide our customers with an uninterrupted supply of high-quality rosin derivatives and resin dispersions."

Construction of West Tech's new plant is scheduled to be completed during the first quarter of 2006, with commercial production to begin immediately thereafter. When fully operational, the plant's annual capacity will be 5,000 metric tons for rosin derivatives and 5,000 metric tons for resin dispersions.

Products to be produced for Eastman at the new facility will include a range of rosin derivatives, including specialty esters based on polymerized rosins. The resin dispersions product line will include products targeted for use in pressure sensitive label applications and general pressure sensitive adhesives.

Eastman Chemical Company manufactures and markets chemicals, fibers and plastics worldwide. It provides key differentiated coatings, adhesives and specialty plastics products; is the world’s largest producer of PET polymers for packaging; and is a major supplier of cellulose acetate fibers.

Source: Eastman Chemical Company

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