(BRK.A), (BRK.B)
The Lubrizol Corporation has opened a chlorinated polyvinyl chloride (CPVC) resin manufacturing facility in Rayong, Thailand. The new facility is part of a joint investment with Sekisui Chemical Company, Ltd. Construction on the 25,600-square-meter-site began in April 2014.
The plant opening is the latest in Lubrizol’s efforts to increase global CPVC capacity that it previously announced in 2013.
CPVC resin manufactured at this site will be a key ingredient in Lubrizol’s proprietary Flowguard®, Blazemaster® and Corzan® compounds that are used by its customers to provide quality piping systems for the global building and construction industry.
CPVC is a high heat and corrosion resistant chlorinated polyvinyl chloride material. It can be used up to 180º F, and its excellent corrosion resistance at elevated temperatures makes it well-suited for self-supporting constructions where high temperatures are involved.
“We are dedicated to providing our customers with high quality compounds to support the global building and construction market,” said Eric Schnur, president of Lubrizol Advanced Materials. “This facility is an important part of our expanded global manufacturing and supply infrastructure that enables Lubrizol to be a more valuable supplier to our customers, helping them to achieve their growth targets in new and existing markets and geographies.”
According to Lubrizol, the Thailand facility, combined with its other recent investments in Louisville, Kentucky and Dahej, India, as well as its existing CPVC operations around the globe, better positions the organization to support its future business growth. The resin Lubrizol will ship from the Thailand plant will be further processed at these other Lubrizol facilities using proprietary processes developed through more than 50 years of compounding expertise.
To commemorate the plant opening, Lubrizol and Sekisui hosted an opening ceremony at the plant. Schnur, along with several other members of Lubrizol’s management team, were in Thailand for the opening, as were members of Sekisui’s management team and officials with the Thai government.
About Lubrizol
Based in Wickliffe, Ohio, Lubrizol owns and operates manufacturing facilities in 17 countries, as well as sales and technical offices around the world. Founded in 1928, Lubrizol has approximately 7,500 employees worldwide. It sells its specialty chemical products in over 100 countries.
© 2015 David Mazor
Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.