Zavenir Daubert India Pvt. and Chemische Werke Kluthe GmbH formed a joint venture to strengthen their reach in markets for specialty chemicals such as metalworking fluids, and plan to build a plant and research and development center in western India by 2020.
Base stock selection deserves more attention from formulators of metalworking fluids and other industrial lubricants, an industry insider said at a recent lubricants conference.
Southern Chinas enormous manufacturing base makes it a huge market for metalworking fluids, but some heavy industries are moving overseas, taking with them chunks of demand for those products. This drove one new company in Guangzhou to focus on niche applications such as drilling and cutting oils for electronic devices.
Chinese metalworking fluid suppliers face threats and opportunities due to trends such as closings of aluminum producers and a push to supply more sophisticated metals.
Master Fluid Solutions has invested in a new metalworking fluids blending plant in Taicang, China, the company announced on Wednesday. The new facility is the Perrysburg, Ohio-based companys single-largest investment globally and will double its capacity in the country.
Asia accounted for 40 percent of the globe's U.S. $8.8 billion in demand for metalworking fluids in 2013, Frost & Sullivan concluded in a recent analysis.
Chinese consumption of metalworking fluids may be flattening in terms of volume, but industry insiders say suppliers should benefit from the governments newly released Made in China 2025 strategy.
Two of Japans top metalworking fluid providers said recently that with domestic automobile production and die-casting industries stagnant, their growth will likely continue to come from other parts of Asia and the Americas.
Japanese metalworking fluids manufacturer Yushiro Chemical Industry Co. recently announced plans to expand its business in India, following the commencement of its new facility earlier this year.
Chinese demand for machine tools will grow more than 9 percent annually for the next four years, according to forecasts by a United States industry research firm. A study by Freedonia Group predicts a continuing shift toward higher-performance equipment.