Foreign and domestic majors are increasing their presence in the port town.
Castrol expand in China Image: Castrol |
BP (China) Ltd is set for a major expansion to its existing lubricants blending plant in the east-China city of Taicang. The expansion will add 73,000 tons of capacity per year, almost doubling its annual output to around 150,000 tons per year.
The British major invested around $75m in its second blending plant in China that will produce lubricants to be marketed under its flagship Castrol brand. Currently, the plant spans 60,000 metres and has an annual output of 77,000 tons per year.
Taicang is located on the Yangtze River delta and has attracted a large amount of foreign and domestic investment.
In addition to BP, both CNPC and ExxonMobil have plants at the port city and have invested around 2.6bn yuan ($411m) in seven separate projects in the area. The combined annual output of the facilities could reach up to 1.06m tons per year once the Castrol extension is complete.