Borouge International inaugurates upgraded circular PP compounding plant in Austria

At the facility, polyolefin resins are compounded with recycled PP and performance-enhancing additives to create a material suitable for packaging applications. According to Borouge International, the resulting material combines light weight, performance, and circularity. 

Roger Kearns, CEO at the company, says: “Strengthening Borouge International’s European industrial base is essential to maintaining competitiveness, resilience, and future growth.” 

Earlier this year, Borouge, Borealis, and Nova Chemicals merged to form Borouge International, a global polyolefins producer headquartered in Vienna, Austria. 

“The Schwechat expansion adds important capability to our asset base and reinforces Austria’s role as a strategic hub for Borouge International. It is an investment in our future that strengthens our position in markets and creates long-term value for our stakeholders.”

Dr. Wolfgang Hattmannsdorfer, Austria’s Federal Minister for Economy, Energy, and Tourism, comments: “Our ambition is clear: Austria should remain at the forefront of industry. To achieve this, we aim to leverage our state-owned holdings strategically and strengthen international partnerships, such as with Abu Dhabi, United Arab Emirates.”

“Borouge International, one of the world’s leading chemical companies, has been established with its headquarters in Vienna. This represents a tremendous opportunity for Austria as a business location,” continues Hattmannsdorfer.

“The investment in Schwechat demonstrates the tangible benefits the new company brings to Austria: new production capacities, domestic value creation, and jobs. We are committed to continuing along this path with determination.”

Investment goals 

Borouge International says the aim of the new facility is to strengthen Europe’s manufacturing footprint to contribute to a reliable supply of advanced compounds for customers across the region. 

The company argues that its investment will support regional economic growth and strengthen Austria’s position as a major destination for industrial production. It adds that Schwechat in particular has the opportunity to emerge as a hub for innovation, manufacturing, and customer collaboration. 

The expansion will increase the company’s availability of specialty compounds for key growth sectors, it says. According to the company, this will improve its supply of high-performance materials with recycled content to help manufacturers respond to growing market demand.

Across industries, lightweight PP compounds also help reduce the overall weight of products to lower environmental impact, the company adds.

The opening of the renovated facility was marked by Borouge International’s executive board members, including Kearns, CEO; Dr. Hasan Karam, chief operating officer; and Roland Janssen, chief commercial officer. Johanna Mikl-Leitner, Governor of Lower Austria, also attended the event. 

Prior to their mega merger, Borealis and Borouge launched Recleo, a global brand for mechanically recycled polyolefins. They also collaborated with Pelita Mekar Semesta, Reciki Solusi Indonesia, and the Subnational Climate Fund to improve the circularity of Indonesia’s waste management system. 

Previously, Borealis invested €49 million (US$57.44 million) to scale up production of Borstar Nextension PP at its manufacturing site in Burghausen, Germany. 

Last year, Nova Chemicals commissioned its first PE film recycling facility in Indianapolis, US, to recycle 145,000 bales of end-of-life plastic film to produce over 100 million pounds of Syndigo recycled linear low-density PE.