Cabot to Set up New White Carbon Black Factory in China

Cabot Corp. commissioned its wholly-owned subsidiary, Cabot (China) Co., Ltd.) in signing an agreement with Inner Mongolia Hengyecheng Silicon Co., Ltd. on Sep. 12.

The two sides plan to set up a joint venture producing white carbon black in China. Cabot is to take an 80% stake in the joint venture, while Hengyecheng holds the remaining 20%.

The joint venture expects to invest 400 million yuan in building a white carbon black plant in Wuhai, Inner Mongolia autonomous region, with annual capacity of 8,000 tons.

The new plant is scheduled to start construction at early 2017 and be completed in 2019.

The project is supposed to meet increasing market demand for Cabot’s high-performance white carbon black.

Headquartered in Boston, the U.S., Cabot is a global supplier of specialty chemicals and performance materials, including carbon black for rubber, specialty carbon black, activated carbon, and white carbon black.

Cabot has entered the Chinese market for nearly 30 years and established four production bases in Shanghai, Xingtai, Jiangxi, and Tianjin.

Its production network has covered Asia, Europe and the U.S., the new plant in Wuhai will be the company’s seventh white carbon black factory around the world.

Located in Wuda Industrial Park, Wuhai, Inner Mongolia, Inner Mongolia Hengyecheng Silicon is a subsidiary of Zhejiang Zhongcheng Holdings Co., Ltd. for production and sales of organosilicon monomer and downstream products.