Replacement of conventional materials with “superior plastics” key to Covestro’s record year, says CEO

Materials manufacturer Covestro has reported a 7.5 per cent increase in orders, taking advantage of global demand for innovative materials with a focus on Asian markets.

2016 brought Covestro increased sales volumes, alongside expansion of production facilities across the world, opening a €3 billion (£2.56 billion) hexamethylene di-isocyanate plant in Shanghai and doubling its polycarbonates capacity, as well as expanding its production facilities for the production of the rigid foam precursor MDI at its Dormagen site in Germany.

Over the year Covestro boosted sales by 7.5 per cent, and its earnings increased by 22.7 per cent to €2 billion.

Patrick Thomas, Covestro CEO, said: “Our strategy is paying off. These excellent results underscore Covestro’s fundamental strength.”

“Growing customer demand for our innovative and sustainable products shows that we are increasingly successful at replacing conventional materials with superior plastics.”

Covestro’s Polyurethanes business grew by 7.7 per cent, driven by a strong increase in all product groups, particularly the MDI product group, demand driven by key industries such as the automotive and construction sectors.

Core volume growth in polycarbonates was 10.3 per cent, with growth driven by the electrical and electronics industry.

Thomas added that Covestro is approaching 2017 with a focus on sustainable growth in line with global macro trends and that the Group faces the year “with great confidence.”