Evonik plans Euro 2 bn investment in German to expand operations

As part of its growth strategy from 2012 to 2016 in Germany, Evonik plans to invest about two billion Euros to strengthen its German operations with new large-scale industrial plants, capacity expansions, and new research centers. "Germany has a strong and healthy industrial base. Our investments in Germany strengthen the international competitiveness of Evonik," said Klaus Engel, Chairman of the Executive Board.
 
In fiscal year 2013, some three billion Euros, or 24 percent of corporate sales, were generated in Germany, where Evonik employs approximately 21,000 people. With its investments in Germany, Evonik benefits from highly qualified and motivated employees, proximity to key customers, excellent research facilities and the existing integrated production networks at its sites. “Ensuring good investment conditions in Germany is the joint task of politics and business. This is where I hope for more support for industry, for example through more reliability and common sense when it comes to managing the turnaround in energy policy or a modern research funding,” emphasised Engel.
 
The Group is about to start up a new facility for functionalised polybutadienes in Marl, Evonik's largest site worldwide with almost 7,000 employees. The material is mainly used for sealing compounds in double-glazed windows and for adhesives.
 
A few weeks ago, a partial facility for crosslinking reagents, which have applications in solar panels and other industries, went into operation in Wesseling near Cologne. The investment volume was in the lower double-digit million euro range. The new production site was integrated into an existing facility, which produces one of the source materials.
 
Other Evonik investments include new capacities for C4-based products in Marl, the expanded specialty silicon production in Essen, and the construction of a new plant for polymeric dispersion agents at the same site. The company is also planning a number of smaller capacity expansions, including for PA12 in Marl.
 
Furthermore, Evonik is investing in modernising and maintaining the Group's domestic sites.
Research & development in Germany is also receiving further boosts. A new research centre for silanes is under construction in Rheinfelden and Evonik scientists working on active principle formulations for parenteral drugs recently moved into new laboratory spaces in Darmstadt. Meanwhile, a new application technology centre for the tyre industry was opened in Wesseling, the world's largest production site for precipitated silicas.
 
Precipitated silicas are an important component of low rolling resistance tyres. A state-of-the-art research centre with focus on cosmetics was opened in Essen in mid-2013. "Successful R&D is the backbone of Evonik, and Germany plays a special role in our global research network,” said Engel.