MeadWestvaco forms manufacturing and marketing joint venture in China

Aug 10, 2005. /Lesprom Network/. MeadWestvaco Corporation’s specialty chemicals division recently announced plans to form a manufacturing and marketing joint venture company with Fujian Shaxian Songchuan Chemical Industry (SSCI). The joint venture will expand SSCI’s current output of tall oil derivatives primarily for sale in the Chinese and Asia Pacific markets and will be known as MWV Pine Chemicals Company Limited. The new company will be the largest primary processor of crude tall oil in China and is expected to expand tall oil fractionation capacity to supply the developing demand for these products in the Asia Pacific market. The venture is also well positioned to consume the increasing raw material supply in the region and represents MeadWestvaco Specialty Chemicals’ first manufacturing venture in China. “This venture will support MeadWestvaco specialty chemicals’ already significant positions in China, as well as present new market opportunities,” says Ron Stover, Asia Pacific business director. “We view this as a first step leading to a diversified manufacturing operation to support our China and Asia Pacific growth.” SSCI is located in the city of Shaxian in the Fujian province, which is on China’s southeastern coast. The company processes gum rosin and refines crude tall oil into a variety of products, including rosin and fatty acid. To meet growing demand, the plant is currently undergoing an expansion, which is expected to be completed by December 2006. The partnership with SSCI extends MeadWestvaco specialty chemicals’ presence in China. The division also has a marketing partnership with Mindong Lianyi Group (MDLY), giving MeadWestvaco exclusive global marketing rights for MDLY Ningde’s wood-based activated carbon product lines. In addition, the division operates a representative sales office in Shanghai that supports its automotive, asphalt and dyestuffs customers. MeadWestvaco specialty chemicals serves customers through its worldwide sales and customer service network. A global supplier of premium specialty chemicals products and distinctive technologies, MeadWestvaco specialty chemicals is headquartered in Charleston, South Carolina, with production facilities in six states plus sales, customer service and technical support staff around the world. MeadWestvaco, headquartered in Stamford, Connecticut, is a global packaging company that delivers high-value packaging solutions and products to the world’s most recognized companies in the food and beverage, media and entertainment, personal care, cosmetic and healthcare industries. The company also has market-leading positions in its consumer and office products, specialty chemicals and specialty papers businesses. MeadWestvaco, with operations in more than 29 countries, has been selected for the Dow Jones Sustainability Indexes, and manages its forestlands in accordance with the Sustainable Forestry Initiative®.