Business
June 04, 2005
Dahmer: German giant to invest US$1.8 billion
German chemical and pharmaceutical giant Bayer AG is to further expand its presence in China.
According to president-in-waiting Dr. Juergen Dahmer, Bayer will be investing US$1.8 billion to set up one new facility every year from now until 2009 at their polymers production site in Shanghai.
Dr Dahmer will succeed Dr Elmar Stachels as the president of Bayer Group for the Chinese mainland, Hong Kong and Taiwan this July.
Key facilities include a 200,000-ton-a-year polycarbonate plant, a 230,000-ton-a-year MDI plant, a 160,000-ton-per-year TDI plant, and a 50,000-ton-a-year HDI plant. The chemical products are widely used in electronics, automotive, coating and construction industries.
"When we make investment decisions in China, we are eyeing the long-term," said Stachels. "We have confidence in China."
Focussing on healthcare, crop science and material science, Bayer sees China's economic boom as providing great opportunities for further development.
"As the Chinese Government is shifting the focus of economic development from speed to quality, Bayer can provide solutions to satisfy China's needs," said Dr Dahmer.
The Chinese Government's enthusiasm for energy efficiency and conservation has led Bayer executives to believe innovations such as the company's fuel cell technology, insulating systems and coatings for buildings and houses can be profitable in the Chinese market.
On the healthcare front, Bayer's medication and technology can also help China tackle diseases on the rise, such as diabetes.
The challenges facing China, including water shortages, poor food quality, shrinking arable land, growing population, and increasing pollution, also provide great potential for Bayer's CropScience segment.
Source: China Daily
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