A new BASF plant for the manufacture of automotive spring aids made of Cellasto for approximately five million vehicles per year is to be built in Shanghai by early 2010.

The move allows BASF to create a base for close-to-the-customer supplies for the growing automotive market in China. After Nansha, also located in China, and Shinshiro in Japan, Shanghai will be the third production and development site for these polyurethane (PU) based car components in Asia.

"This investment will considerably expand our position in Asia", says Jacques Delmoitiez, President BASF Polyurethanes.

"With our three sites we will be able to supply all our customers in the entire Asia Pacific area."

"We are establishing a modern, highly flexible Cellasto site where our team will co-operate very closely with our customers and accompany their dynamic growth" says Chew Eng Soo, Group Vice President, BASF Polyurethanes Asia Pacific. The new Cellasto branch establishment will be integrated in the already existing BASF site in Shanghai. Like the Nansha site, the Cellasto plant will be equipped to increase production at short notice to meet surging demand.

Cellasto is contained in one out of two vehicles manufactured worldwide. Nine out of ten automotive manufacturers use the BASF spring. Under the brand name Cellasto, BASF develops, manufactures and distributes components made of cellular polyurethane elastomers for enhanced driving comfort.

BASF claims that Cellasto dampens vibrations and reduces noise level more effectively than conventional spring aids, providing added safety as well as superior comfort. Approximately 160 million Cellasto components are manufactured annually at the six BASF sites worldwide.