FRANKFURT, Oct 9 (Reuters) - Germany’s Covestro, the former plastics unit of Bayer, will invest 1.5 billion euros ($1.7 billion) in a new production plant in Baytown, Texas for chemicals that go into rigid insulation foams.
The total annual output capacity of the new facility for the precursor chemical known as MDI will be 500,000 tonnes per year, the group said in a statement on Tuesday.
Start of production is expected in 2024 and an older MDI unit with a production capacity of 90,000 tonnes will then be closed.
($1 = 0.8741 euros)
Reporting by Ludwig Burger; editing by Thomas Seythal