Lanxess AG to Expand its Iron Oxide Pigment Production Capacity

Lanxess AG plans to expand its global iron oxide pigment production capacity to increase its customer reach across the globe

Germany: Lanxess AG, a Germany headquartered manufacturer of specialty chemicals has planned to increase its iron oxide pigment production capacity to increase its customer reach across the globe. The successful implementation of expansion strategy would aid Lanxess in becoming a reliable iron oxide pigment supplier and would help the company in maintaining long term profitable relations with its customers. As a part of expansion strategy, Lanxess would increase its red and black pigment production capacity by 23,000 metric tons by 2019 at its synthetic iron oxide pigment plant operating in Krefeld-Uerdingen, Germany. Additionally, Lanxess is planning to increase its yellow pigment production capacity by 2,000 metric tons per annum. This expansion would take place at its pigment production facility based in Brazil. On completion of expansion strategies, Lanxess is anticipated to increase its global iron oxide pigment production capacity from 0.375 million tons to 0.4 million tons by end of 2019.

TechSci Research depicts that the multiple capacity expansion initiatives taken by Lanxess AG would aid the company in catering to the demand of its customers more efficiently. Additionally, this would aid the company in consolidating its position as a market leader in global pigment market.

According to the recently published report by TechSci Research, “Global Pigments Market By Type (Inorganic, Organic and Specialty), By Application (Paints and Coatings, Plastics, Printing Inks, Construction and Others), Competition Forecast and Opportunities, 2011 – 2021”, global pigments market size is estimated to cross US$ 34 billion by 2021. Segment-wise, inorganic pigments dominated the overall market in 2015, and this trend is anticipated to continue through 2021. Inorganic pigments are widely used in paints & coatings and plastics to provide various functional properties such as heat stabilization, antistatic, flame retardants, anti-block and UV stabilization. In 2015, Asia-Pacific region dominated the global pigments market, owing to huge presence of paints & coatings, plastics, construction and printing ink industries, coupled with increasing investments across diverse industry verticals.