On 8 May 2015, German specialty chemicals company Evonik Industries, unveiled its expanded oil additives plant on Jurong Island.
With this expansion, Evonik will be producing 40 per cent of its global product portfolio in Singapore, transforming it into the largest of its five additive plants worldwide. To cater to production capacity that will nearly double, Evonik has increased the size of its local workforce by 20 per cent. In addition, Evonik has improved automation in the Jurong Island plant, which it expects to help reduce energy consumption and waste by 10 to 20 per cent.
“The expanding mobility in Asia, a stronger focus on resource efficiency and higher fuel economy, as well as tighter emission limits are spurring growth in demand for high-performance lubricants,” Johannes Ohmer, head of Evonik’s inorganic materials business, said in a statement. “With this additional capacity, we are addressing our customers’ growing demand for more and more advanced lubricants.”
Economic Development Board Chairman, Dr Beh Swan Gin, who was the guest of honour, said that Evonik’s expansion reaffirms Singapore’s value as a strategic base in Asia for the energy and chemicals industry. He noted that the global market for lubricants is projected to grow at a compound annual growth rate of 2.5 per cent, and is expected to reach US$70.3 billion by 2020. He added that Asia-Pacific will be the fastest-growing market, representing 40 per cent of the global lubricant demand and over the past two years, across the entire value chain of activities, companies in the lubricant industry have invested over S$400 million in Singapore.