BASF Starts the Final Stage of the MDI Capacity Expansion Project in North America

Date: 17/01/2023
Categories: Corporate
Costruction works in Geismar for the MDI expansion project of BASF

BASF will increase the production capacity to approximately 600,000 metric tons per year.

BASF has recently announced that it has begun the third and final phase of the methylene diphenyl diisocyanate (MDI) expansion project at its Verbund site in Geismar (Louisiana, U.S.A.), which was announced in July 2022. The company will increase production capacity to approximately 600,000 metric tons per year by 2025 to support the ongoing growth of its North American customers.

“BASF already ranks among the largest and most forward-looking chemical companies in the United States. Through this investment, we demonstrate our commitment to meeting the needs of our customers while strengthening our foundation for continued growth in the important U.S. market,” has declared Michael Heinz, the Chairman and CEO of BASF Corporation.

Kicked off in 2018, the expansion project follows a staggered approach. First, a new MDI synthesis unit was put in operation in October 2020. The second phase, which started operations in 2021, expanded several existing upstream units. The third and final phase will add new upstream units and a splitter. The investment for this final expansion phase amounts to $780 million, while the entire volume totals around $1 billion, making the MDI expansion project the largest wholly owned investment of BASF in North America.

“We are committed to continuing the success story together with our North American MDI customers. BASF is investing to support our customers in various industries with significant growth potential in MDI applications, including transportation, automotive, footwear and furniture,” has concluded Stefan Doerr, the senior vice-president for the Monomers business unit in North America.