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Bayer MaterialScience increases MDI production in Krefeld-Uerdingen


Global MDI production capacity exceeds one million tons
Efficient utilization of existing capacities through debottlenecking measures

Tuesday - August 1, 2006, Leverkusen – Bayer MaterialScience AG has a global annual capacity of more than one million tons for the production of the polyurethane raw material diphenylmethane diisocyanate (MDI). The company has now increased its capacity in Krefeld-Uerdingen, Germany, by a further 36,000 t/y by introducing a number of debottlenecking measures. These were based on process improvements and did not require any major investment.

“We want to grow with the market by ensuring an efficient utilization of our available capacities. The recent expansion project is one of several measures that have enabled us to significantly increase our total annual capacity in the last two years,“ says Peter Vanacker, head of the Polyurethanes Business Unit at Bayer MaterialScience. At its integrated site in Shanghai, the company is also building a new world-scale production facility for MDI which will be the biggest of its kind in the world, with an annual capacity of 350,000 t. It is scheduled to go on stream in 2008. ”With locally produced MDI, we want to secure a large portion of the future growth in the Asia-Pacific region, and thereby underscore our position as one of the world’s leading producers of polyurethane raw materials" said Vanacker.

MDI is an important chemical component in the production of polyurethane foams and elastomers. Rigid insulating foams are used, for example, in the production of refrigerators and freezers, for thermal insulation in the construction industry and in district heating systems. MDI elastomers are used in the shoe, automotive and electrical industries.

With sales of EUR 10.7 billion in 2005, Bayer MaterialScience AG is one of the world’s largest polymer manufacturers. Its main fields of activity are the production of high-tech polymer materials and the development of innovative solutions for products used in many areas of everyday life. The main consumer sectors are the automotive, electrical/electronics, construction, sports and leisure industries. Bayer MaterialScience has production facilities at 40 sites around the world and a workforce of approx. 18,800. Bayer MaterialScience is part of the Bayer Group.

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This news release contains forward-looking statements based on current assumptions and forecasts made by Bayer Group management. Various known and unknown risks, uncertainties and other factors could lead to material differences between the actual future results, financial situation, development or performance of the company and the estimates given here. These factors include those discussed in our public reports filed with the Frankfurt Stock Exchange and with the U.S. Securities and Exchange Commission (including our Form 20-F). The company assumes no liability whatsoever to update these forward-looking statements or to conform them to future events or developments.


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