Kemira has increased its holding in the Chinese water chemical joint venture Kemwater (Yixing) Co., Ltd to 89% by acquiring the 29% holding of its Chinese partner Yixing Purifying Agent Plant. The other shareholder, Finnfund of Helsinki, will maintain its original holding of 11% in the company.
Kemwater (Yixing) Co., Ltd began operations in 1999 in the city of Yixing, located in the Jiangsu Province in China. The turnover of the company will be approx. EUR 4 million in 2001, and the company employs 130 people.
The main products of the company are inorganic coagulants, such as different types of polyaluminium chloride and ferric chloride, which are used in the production of drinking water and wastewater treatment. Other products are e.g. an organic polymer grade that can be used both as a color removal agent in wastewater treatment, as well as in certain paper production applications. "We will expand our product range in the immediate future", says Mr. Juha Kuikka, Managing Director of Kemwater (Yixing) Co., Ltd. "The market for water treatment chemicals in China is potentially the largest in the world. Kemwater ranks among the largest local producers, and we certainly plan to maintain that position."
"At the moment, our products are used primarily in the production of drinking water, and in the treatment of industrial wastewater. Municipal wastewater treatment is a rapidly growing sector in China, and there are dozens of wastewater treatment facility projects in progress. Our intention is to promote chemical coagulation in this field.
The paper industry is also a growing customer group for us, and some of our products also have special paper chemical applications. Kemira's Specialty Paper Chemicals unit, which is strengthening its position in the Chinese market, can thus utilize Kemira's own local production", Mr. Kuikka continues.
Water treatment and related applications and services have been defined as a central growth area of the Kemira Group. Kemira is the world's largest producer of coagulants for water treatment, and its strategic business unit Kemwater has 30 production facilities worldwide.
In addition to water treatment, Kemira's other areas of growth are pulp and paper chemicals and paints, with other areas of focus being specialty fertilizers and industrial chemicals. The Kemira Group has net sales of EUR 2,486 million (2000) and 9,644 employees.