BASF inaugurated the final phase of its expansion at Geismar, Louisiana, on Wednesday, Nov. 11, saying the project brought annual methylene diphenyl diisocyanate (MDI) capacity to about 600,000 metric tons.
BASF put the total investment at approximately $1 billion and called it the largest wholly owned investment project in North America to date. The company said the expanded site makes it the region’s largest MDI producer. The 600,000-metric-ton figure describes annual capacity, not actual production or sales.
MDI is a raw material used to make polyurethanes. BASF lists construction, household appliances, transportation, automotive products, footwear and furniture among the uses for those materials. That range links the site’s output to several manufacturing sectors and consumer goods markets.
The project also increased Geismar’s aniline capacity. BASF said the added availability is intended for North American customers in agricultural chemicals, rubber, dyes and pigments, extending the site’s supply to customers beyond polyurethane markets.
BASF cited expected growth in the polyurethane market as a reason for the investment. The company expects the expanded site to give customers a reliable, competitive source integrated with local production. Those are BASF’s stated rationale and expected customer benefits.
The three-phase project began in 2018, according to BASF. The company commissioned an MDI synthesis unit in 2020 and upgraded upstream production units in 2021. The final stage added further upstream units and a splitter. BASF said the last phase started on schedule.
Ramkumar Dhruva, president of BASF’s Monomers Division, said the expansion was “taking the lead in MDI production in North America.”
