allnex Expands Thailand Facility to Boost SCA Production

allnex is aiming to significantly increase regional supply capacity through its new investment, reducing delivery times and improving service quality in the APAC region.

allnex, a leading global manufacturer and solution provider of coating resins and additives, has announced a strategic investment in Sag Control Agent (SCA) production capacity at its Rayong facility in Thailand to expand manufacturing capacity in the Asia-Pacific region. This new SCA capacity investment, expected to commence operations in January 2028, demonstrates allnex's commitment to supporting customers operating in the world's fastest-growing automotive coatings markets.
By relocating SCA production to the APAC region and, most importantly, bringing it closer to its customers, allnex aims to increase supply reliability, shorten delivery times, and respond more quickly to changing market needs.

SCAs are one of the core technologies in allnex's Automotive OEM product portfolio and are considered an important factor determining the company's market-leading position in this field. allnex's SCA resins provide superior sag control performance, enabling an outstanding appearance in premium high-gloss transparent topcoat applications. These specialty resins enable coating manufacturers to meet automotive manufacturers' increasingly demanding expectations regarding performance, efficiency, and sustainability.

Since allnex developed SCA resins approximately forty years ago, all SCA production had been carried out at the company's facility in Bergen op Zoom, Netherlands. In recent years, APAC has become the world's largest SCA market, driven by increased automotive production and higher appearance quality demands. With this investment in APAC, allnex will not only provide customers with closer supply and higher supply security, but will also have timely capacity in place to meet future growth.

Ruben Mannien, Senior Vice President APAC at allnex, stated: "This strategic capacity investment in this unique technology is a demonstration of our commitment to our customers in Asia-Pacific and their growth objectives. By localizing SCA production in Thailand, we are directly responding to our customers' needs for higher supply security, shorter delivery times, and faster access to innovation. The new facility will strengthen our capability and agility in supporting both global and regional customers in the APAC region and will enable us to meet future market demand."

The Rayong facility was selected following a comprehensive evaluation of several locations across the region. The facility stood out due to its existing infrastructure, strong technical capabilities, and strategic proximity to major automotive manufacturing hubs in China, India, South Korea, and Southeast Asia. The investment will include specialized reactors for the production of SCA resins for plastic automotive parts and metal automobile bodies.

In addition to enhancing supply resilience, the new facility will support allnex's latest SCA innovations developed for next-generation transparent topcoat systems targeting high-solids, low-bake-temperature, and more sustainable coating technologies. These solutions will help customers increase productivity, reduce energy consumption, and differentiate themselves in an increasingly competitive market.

Construction is planned to be completed by the end of 2027, with production readied ahead of anticipated market growth.

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