TOKYO: In order to strengthen its supply functions in China in response to growing demand for high-performance lubricants in that market, Idemitsu Kosan Co.,Ltd. plans to open its second facility in China, the Huizhou Plant, through Huizhou Idemitsu Lube Co., Ltd. [the_ad id=”31605″]Completion of this new plant, a state-of-the-art facility with annual production capacity of 120,000 KL, is targeted for 2020. As a result of the progress of the automotive and other industries, demand for lubricants continues to increase in China, already the world’s largest lubricant market.
Solid growth is projected for the future as well. Idemitsu’s first lubricants plant in China began operation in 2004, with the establishment of Tianjin Idemitsu Lubricants Co., Ltd in 2003.
Since then, it has established subsidiaries in Shanghai, Guangzhou, Changchun, Beijing, and Chongqing in order to build a sales structure for lubricants in China. It also opened a development center in Shanghai in October 2018, in order to swiftly develop lubricants products suited to the needs of the Chinese market.
With this opening of its second plant in China, with annual production capacity of 120,000 KL, Idemitsu aims to secure a stable supply of energy to handle sales that continue to grow from year to year.In the future as well, Idemitsu will continue aiming both to establish production and sales structures with deep roots in the Chinese market, and to strengthen and grow its business as a global supplier of lubricants.