APG surfactants are renewable and plant-derived, and are obtained from raw materials such as vegetable oils and starch. In cosmetics and personal care, the surfactants can be used in cleansing lotions, shampoos and oral care products, among others.
According to Cognis, the factory was established as a result of increasing environmental awareness and consumer demand for such ingredients in the Asia-Pacific region; a market with high growth potential.
“The new facility in China complements our existing plants in Germany and the US, and improves global availability of our APG surfactants,” said Richard Ridinger, executive vice president of the care chemicals division.
Although the company did not reveal details of the production capacity of the facility, Young-Yull Kim, Vice President Care Chemicals Sales and Marketing Asia-Pacific told CosmeticsDesign.com that it was sufficient to meet regional market demand.
"Cognis also designed plant to be flexible to have more capacity with necessary investment at any time," said Kim.
The company also plans to establish technical services in Jinshan in order to demonstrate product benefits to customers and offer support on application technologies.
Responsible care charter
At the official opening of the facility the company signed the Responsible Care Charter, through which it aims to improve safety, health and environmental performance.
The Responsible Care Charter is part of a voluntary, global initiative set up by the International Council of Chemical Associations to encourage businesses to improve upon these points and to communicate with stakeholders about their products and processes.
The principles of Responsible Care will soon begin to be integrated into the standards and processes of the affiliate by the Cognis Responsible Care team in Greater China, the company said.
Recording operating result in Q1
The Asia-Pacific region was highlighted as being a particularly strong market for Cognis in Q1, with the company recording sales growth of almost 30 per cent across all divisions.
The strong performance helped the chemicals player to turn in its best ever Q1 operating profit, a figure of €103m which represented an increase of €68m compared to the same period last year.
Sales in the care chemicals division increased 10 per cent on the same period last year, reaching a figure of €407m. The company attributed this to an increase in sales in the home and personal care markets fueled by a rise in product demand across nearly all regions.