Kumho Mitsui Chemicals Expands MDI Production Capacity Amid Rising Demand
Kumho Mitsui Chemicals is increasing its MDI production capacity, building on a 2024 expansion, to address a projected 5% annual demand growth. MDI, a vital polyurethane raw material used in automotive and insulation, is experiencing heightened demand from global residential insulation policies and economic growth. This expansion supports rising needs for high-performance and commodity MDI, while simultaneously utilizing recycling facilities to reduce GHG emissions and enhance energy efficiency, fostering sustainable production and cost rationalization.
Kumho Mitsui Chemicals is embarking on a significant expansion of its MDI (methylene diphenyl diisocyanate) production facilities to meet surging global demand. MDI is a crucial raw material for polyurethane, a versatile polymer widely utilized across various industries, including automotive parts, furniture, bedding, and insulation for homes and refrigerators, as well as elastic fibres and adhesives. The demand for MDI is projected to grow at an annual rate of 5%, driven by global policy initiatives aimed at improving residential insulation to combat global warming, alongside general economic growth.This latest capacity increase follows a substantial 200,000 t expansion in 2024, after which the facilities quickly reached full operating capacity. The current strategic move by Kumho Mitsui Chemicals will enable them to accommodate the escalating demand for high-performance MDI, particularly for flame-retardant insulation materials, and also for automotive components. Beyond meeting market needs, the expansion is designed with environmental sustainability in mind. It will fully leverage the recycling facilities previously introduced, leading to a reduction in greenhouse gas (GHG) emissions per unit of MDI produced. Furthermore, these efforts are expected to improve energy efficiency, reduce the plant’s overall carbon footprint, contribute to cost rationalization, and establish a more sustainable production system.