BASF will mothball its TMP plant in Ludwigshafen, Germany, which will affect eight BASF employees, who will assume other jobs at the site. The Ludwigshafen plant went on stream in 2000, said BASF spokesman Klaus-Peter Rieser.
Under the agreement, F.A.R. (Fabbrica Adesivi Resine S.p.a.) will take over production of TMP for both partners at its Vercelli site near Milan, Italy. BASF will be exclusively responsible for marketing and sales of the TMP. The agreement is subject to approval of the respective antitrust authorities.
Rieser said the two companies have worked together before, but not in this particular line of products. We evaluated other companies [besides] F.A.R., but this company offers BASF the most extensive synergies for production and marketing, he told Lube Report.
In the current difficult market situation, we are temporarily focusing on one manufacturing site only, said Tom Witzel, head of the regional business unit diols and polyalcohols of Ludwigshafen-based BASFs intermediates division. We have already optimized the Vercelli TMP production together with F.A.R. The quality of the TMP to be produced there will comply with both companies standards and meet our customers high expectations.
TMP is used in the production of polyurethanes, synthetic lubricants and coatings. BASF also manufactures numerous other polyalcohols. The intermediates are also valuable in the production of adhesives and polyester resins.
F.A.R. produces formaldehyde and various resins and adhesives. Based in Cologno Monzese, Italy, it has a workforce of about 200, and posted sales of 110 million (U.S. $154 million) in 2008.