Wacker’s new production lines in Asia support the company’s strategy to locate its manufacturing capabilities close to its customers.
“With the expansion of our production facilities in Japan and South Korea, we are strengthening our position as a market and technology leader for high-quality silicone solutions in the important Asian growth market,” said Christian Kirsten, WACKER Executive Board member responsible for the Group’s silicones business, at the opening. “The additional capacity will help us meet growing demand, especially from the local automotive and construction industries. By doing so we continue to drive our specialties strategy in the silicones sector.”
Asia is already one of WACKER’s most important sales regions. “We generate more than 40 percent of our sales in Asia. Our business activities in Japan and South Korea are major contributors”, emphasizes WACKER’s executive board member Angela Wörl, who is responsible for the Asia region. “The new production lines in Tsukuba and in Jincheon support our strategy to locate our manufacturing capabilities close to our customers in the region.”
Tsukuba: Focus on E-Mobility
The capacity expansion at WACKER’s production site in Tsukuba is targeting customers from the automotive industry, especially in the field of electromobility. The newly built plant hosts a production line for manufacturing silicone-based thermal interface materials (TIM).
As part of the global trend towards electromobility, demand for such specialty silicones is also expected to increase in Asia. Japanese automotive suppliers are currently investing heavily in this sector.
Capacity Expansion in South Korea: Silicone Sealants for the Construction Industry
WACKER also expanded its production capacity at its South Korean site in Jincheon. Here, the company has been producing silicone sealants for the construction industry since 2010 and specialty silicones, liquid silicone rubbers and silicone elastomers for the automotive and electrical industries since 2012. The products are shipped to customers throughout Asia.
The silicone sealants production had already been expanded as part of the site’s relocation in 2018. However, increasing demand for sealants put the plant to its limits. The new production line will increase production capacity in Jincheon significantly.