The latest joint venture of the Group produces and distributes high-quality chemicals for metal surface treatment. Customers are the automotive and bicycle industries, manufacturers of domestic appliances, steel industry and all the other metal processing industries such as wire producers in the industrial region of North-west China. As a result, the Chemetall Group is now represented in the "Middle Kingdom" by two companies with their own production.
Chemetall has a 55 percent share in the new joint venture directly and via its JV Chemetall Shanghai Chemicals Co. Ltd., 45 percent are in possession of the Chongqing Zhongtian Environment Protection Industry (Group) Co. Ltd., a leading private company in the province of Chongqing.
Besides their respective capital share the local JV partner makes available state-of-the-art production and laboratory capacities as well as personnel, while Chemetall provides technology, process and know-how. Through the Chinese partner, the new JV has had very good contacts to the local industry right from the start and existing outlets for cleaners, sealants and water treatment chemicals. Mr. Wei Liu was appointed Managing Director of the company.
Experts are expecting strong growth in the Chinese surface treatment market in the coming years.
New Chemetall Joint Venture in China Starts Operating
In September, the recently established Chinese joint venture of the Chemetall Group, Chongqing Chemetall Chemical Co. Ltd., started operating.