The Dow Chemical Co. (DOW: Quote), through its unit Dow Europe Holding BV, and Aksa Akrilik Kimya Sanayii A.S., an acrylic fiber company, Friday announced the formation of DowAksa Advanced Composites Holdings BV - a joint venture to manufacture carbon fiber and derivatives.
Aksa and Dow had previously signed a definitive agreement to form the JV on December 20, 2011.
DowAksa will develop and globally market a broad range of products and technical service support in the rapidly expanding carbon-fiber composites industry. The JV will have focus on bringing solutions to market that reduce overall costs, thereby enhancing economics and driving adoption in a broader array of markets, Dow said.
Very strong and lightweight, carbon-fiber based materials are used in a variety of applications in growth industries, where weight savings, emissions reduction, durability, and energy efficiency are key performance factors. Currently, the carbon fiber composites industry is estimated at USD $10 billion globally and is expected to reach $40 billion by 2022.
Aksa's carbon fiber which is the output behind the R&D's success, has been being produced since 2009 in the Yalova Factory. The JV will expand on existing carbon fiber production assets in Yalova, Turkey, and will capture growth by creating a large-scale, integrated production capability for the manufacture and supply of advanced carbon fiber technologies.
Aksa and Dow each hold a 50 percent stake in the JV, which will finance its growth through cash flow from operations and financial institutions.
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by RTT Staff Writer
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