Evonik Expands Production Capacity Globally | Essen, Germany

Marl, Germany – Evonik Industries AG is significantly expanding its global production capacity for hydroxyl-terminated polybutadienes (HTPB), a key component in various industries including coatings, adhesives and sealants. The German chemical giant announced February 6, 2026, that it is bolstering its infrastructure with investments in both Germany and Asia, responding to increasing global demand.

The expansion builds upon substantial investments made in recent years. In 2024, Evonik increased HTPB production capacity at its Marl, Germany site. Last year, the company established a production facility for POLYVEST® ST-E 60 polybutadienes in Shanghai, China. These moves demonstrate a strategic commitment to strengthening its position in the polybutadiene market.

Currently, construction is underway to increase output at the existing Marl facility, with operations expected to come online in the second quarter of 2027. Simultaneously, Evonik has initiated the engineering phase for a new HTPB production plant in Asia. According to Dr. Jürgen Herwig, Head of Evonik’s polybutadienes business, the location for the new Asian facility was selected to leverage synergies with Evonik´s existing assets.

The company’s move reflects a broader trend within the chemical industry towards regionalizing supply chains and ensuring greater resilience in the face of geopolitical uncertainties and logistical challenges. While Evonik did not specify the exact location of the new Asian plant, the emphasis on leveraging existing assets suggests a preference for sites with established infrastructure and logistical connections.

Dr. Anna Maria Ickert, Head of Evonik Coating & Adhesive Resins, emphasized the importance of these investments for customer service. She stated that the expansions demonstrate the company’s ongoing commitment to meeting the growing global demand by supporting our customers with enhanced reliability and proximity of supply.

HTPB is a versatile polymer used in a wide range of applications. Beyond coatings and adhesives, it finds use in the production of elastomers, plasticizers, and specialty chemicals. The demand for HTPB is driven by growth in end-use industries such as automotive, construction, and packaging. The expansion of production capacity suggests Evonik anticipates continued growth in these sectors.

Evonik’s global footprint extends to over 100 countries, and the company reported sales of €15.2 billion and adjusted EBITDA of €2.1 billion in 2024. This latest investment in HTPB production is part of a larger strategy to drive innovation and strengthen its global presence. The company’s commitment to a reliable supply of high-performance materials is seen as crucial for maintaining its competitive edge.

The expansion of precipitated silica production at Evonik’s Charleston, South Carolina site, announced in February 2024, further illustrates the company’s investment in bolstering its production capabilities. That expansion is expected to increase capacity by 50 percent, with operations starting in early 2026. Maike Schuh, chief financial officer of Evonik responsible for the Americas region, noted that the Charleston investment strengthen[s] our strategic customer-centric approach and improving our cost and sustainability position.

The strategic importance of the Asian market is underscored by Evonik’s decision to localize the final production process of its POLYVEST® ST-E 60 polybutadiene product in Shanghai. This facility is expected to be fully operational in the third quarter of 2025, demonstrating a commitment to serving the growing demand in the region directly.

Evonik’s moves are indicative of a broader trend among global chemical companies to invest in capacity expansions and regionalization of production. This is driven by factors such as increasing demand from emerging markets, the need for greater supply chain resilience, and a focus on sustainability. The company’s investments in both Germany and Asia suggest a balanced approach, leveraging its existing strengths while expanding its presence in key growth regions.

The expansions underline Evonik’s dedication to driving innovation, strengthening its global footprint, and ensuring a reliable supply of high-performance materials for its customers worldwide. The company’s continued investment in HTPB production capacity positions it to capitalize on the growing demand for this versatile polymer in a variety of industries.