Lanxess opens APAC Application Development Center in Shanghai

Ming Cheng Chien, president of Lanxess Asia Pacific said:
“We are proud of being the first company to settle at the InnoGreen Shanghai International Chemical New Materials Innovation Center. The AADC will enhance our local innovation and strengthen our confidence in the Chinese market, and ultimately serve our customers in the entire Asia-Pacific region”

“Today marks an important milestone in our history in China. Our operations here are central to our global strategy, and we are grateful for the long-term partnerships we have forged in this country,” Lanxess chairman of the board of management Matthias Zachert said in his speech. “China is a nation of opportunity, and we are always seeking new ways to support and participate in its growth and prosperity.”

The establishment of the AADC also underlines Lanxess’ confidence in China’s growth potential. As the world’s largest chemical market, China already accounts for 40 percent of global chemical sales, and the figure will approach 50 percent by 2030.

To meet the growing market demand, Lanxess has increased its presence in China and enhanced its market position in the entire Asia-Pacific region through continuous investment. In 2018, the company launched a new regional setup in the Asia Pacific region, covering Greater China, Japan, South Korea and the ASEAN countries to promote synergies between countries and business units. In September 2019, Lanxess signed an MOU with SCIP to set up an integrated site as a new base for sustainable growth in China. Two months later, the company announced its plan to establish a comprehensive application development center to strengthen its innovation capabilities in China and the Asia-Pacific region. This came as the need for localized product grades increased due to shifting demand toward value added products in China. In March 2020, Lanxess announced that the AADC would be located at SCIP. The delivery of the AADC building took place in December 2020.

Thanks to the continuous presence in China, the region was the only market with strong demand in the Asia-Pacific region during the pandemic. The sales in Greater China in 2020 accounted for 14 percent of Lanxess’ total global sales.