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BorsodChem Zrt. is one of the leading chemical companies, advanced plastics raw material producer and processor in Central Eastern Europe, which performs its manufacturing activity in the Czech Republic and Poland besides Hungary. Its products are sold in external markets supported by its branch offices in Brussels and Moscow as well as its trading subsidiaries in Milan and Poland. BC Zrt. has become a first line competitor by its products and production processes in the world market today.
BC has expanded trade relations and approximately 80% of its sales revenues come from export. Its products are primarily sold in Western Europe and in the countries of Central and Eastern Europe. Its sales revenues grow dynamically year by year. Planned large-scale investments are the basis and precondition of long- term development.
The Company is the largest PVC resin and aniline producer in the region, sole MDI (methylene-diphenil-di-isocyanate) and leading TDI (toluene-di-isocyanate) producer.
BorsodChem Group deals with the production of plastics raw materials and plastics processing. Its activity can be divided into four segments: vinyls, isocyanates, plastics processing and other activities (services).
PVC – as one of the Company’s significant product – is a plastic used most extensively in our modern world today, which is applied from the construction industry through the packaging and furniture industry in the most various fields. The business unit produces and sells different types of PVC resins, polymerisation auxiliary materials, chlorinated polyethylene (CPE) including chloralkali products (hydrochloric acid, hypo, caustic soda solution).
The key product of the PVC Business Unit is PVC resin produced by means of suspension processing, which the Company has been producing since 1963. ONGROVIL brand PVC resins are used for rigid and stretch processing, primarily films, sheets, pipes and profiles, but several commodity goods are also produced from them.
Besides the type of traditional chlorinated polyethylene (ONGROLIT CPE) enhancing impact resistance, the independent elastomer type has become determinant, which has more and more areas of application.
BorsodChem Zrt.’s other major product line consists of polyurethane raw materials, which are the most successful with the most multilateral utilisation in the world market. These products are of utmost importance with a view to the Company’s future, since they remarkably increase the Company’s sales revenues and they are less exposed to the cyclicity of the chemical industry.
The basic and essential raw materials of polyurethane-chemistry are the various types of MDI products and TDI, which combined with other base materials facilitate the production of appropriate polyurethane systems to meet individual demands.
BorsodChem produces crude, pure and modified MDI under the trademarks of ONGRONAT MDI and ONGRONAT TDI as well as TDI-80, TDI-65 and TDI-100 products.
The largest consumer of crude MDI is the construction industry, which appears in heat- insulating and wood (e.g. OSB sheets) products, but a considerable volume is utilised by the refrigerator and automotive industries as well. The pure and modified MDI is mainly utilised by the shoe and adhesive agent industries, while surface treatment and individual technical applications comprise the other significant segment of end users.
The major application area of TDI is the production of soft foams – sponge by its common name –, the two main markets thereof are the furniture and automotive industries (mattresses, seats etc.).
In addition to manufacturing products (aniline, nitric acid) incorprated in the parent company’s isocyanate product chain, BC-MCHZ - the Group’s plant in Ostrava (Czech Republic) - produces special amins, oxalic acid, cyclohexylamine and dicyclohexyl-amin.
BorsodChem’s subsidiary in Poland, Petrochemia-Blachownia S.A. processes crude benzene provided by coke production into aromatic hydrocarbons, in the course thereof it produces benzene and toluene adjusted into the production structure of isocyanates.
New strategy
Become the No.1 TDI producer in Europe and build a world-scale 200 kt/year capacity TDI plant by mid- 2009
Continue profitable growth in MDI – increase the capacity in Kazincbarcika up to 300 kt/year by 2011 along with the continuous development of technology, product quality and product portfolio
Increase the volume of MDI and TDI product variants tailored to customers in order to raise added value – shift towards polyurethane systems and solutions
Maintain the PVC Business Unit in order to utilise synergies and cash production – explore the potentials provided by the European consolidation proceeding in the industrial sector
Research –development
Construction of the TS&D Center in Gödöllő began in September 2007 with the intention of establishing a research& development and customer center, the task thereof is to extend the favourable trade relations with existing customers to the technical field and monitor their current demand on the one hand and on the other hand convince potential future customers by introducing the application technology values of our products. For this purpose a team of development engineers was established, whose area of operation covers the total utilisation portfolio of our isocyanate customers. At the outset the operation of the Center focuses on the detailed exploration of the applicability and “performance” of the currently manufactured products, which will be later expanded by the development and full-scale licensing of speciality products.
Quality assurance activity also takes place in the Center along with the development and application technology consultation, which supervises the quality and applicability of manufactured products in the relevant area of application. Moreover, it handles customer complaints related to quality and manages developments and tests with respect to special customer demands. It maintains relations with the colleagues working in the field of sales and marketing, the PUR plant and also quality inspection laboratories producing analytic data.
Responsible care
In order to enhance its partners’ confidence and the competitiveness of its products, BorsodChem Zrt. applies an integrated quality assurance and environment protection management system. BC performs its environment protection activity in accord with the principles specified in its environment policy. Accordingly, it continuously strives to reduce environmental loads in order to maintain environment usage risks at an acceptable level during its production activities.
Environment protection forms a significant part of BorsodChem Zrt.’s investment programs. BC purposely seeks to improve its environmental performance even at the stage of planning, prearrangement and licensing laying great emphasis on the compliance with EU requirements.
BorsodChem has been able to attain its present environmental performance by the conscious application and implementation of the following major factors:
· compliance with laws: is the minimum performance level, the alpha and omega of daily environmental tasks;
· consciousness: for BC it meant that the Company prepared consciously and systematically to comply with the strict set of requirements of the European Union accession;
· systemacy: resulted in the improved environmental performance of applied technologies by having dedicated expenditure in order to comply with requirements;
· integrity: this approach brought about corporate level solutions, building technologies on one another with respect to environmental protection and that of specifically aimed technological relationship providing basis for further development;
· prevention: as the Company’s general approach, it also contributes to the step-by-step introduction of safer solutions (recirculation, recycling) instead of previously typical “pipe-end solutions”;
· innovative attitude: led to the development and implementation of numerous technological solutions unrivalled both in Hungary and worldwide;
· voluntary commitment: beyond its confidence-building effect, brought high degree of freedom when scheduling measures aimed at improving environmental performance;
· openness: one of the most important pillars of confidence, is the key element of the communication and cooperation with the local community, civil organizations as well as supervisory bodies.
BorsodChem management is committed to assume responsibility for creating safe working conditions, reducing accidental risks to minimum and developing a safe working environment. Beyond the management activity, the employees’ safety awareness and conduct play a key role in implementing these goals.
In line with its safety policy, BorsodChem’s ongoing endeavour is to consistently develop occupational safety, fire safety and environment safety.
The excellent safety indicators also underpin the improvement and adequacy of personal and material conditions of work performed without jeopardizing safety and health.
Our objectives
The Company continuously expanded its production capacity in the past years as well and its mid-term strategy also focuses on further growth. Accordingly, BorsodChem will develop into Europe’s prevailing TDI and MDI producer by 2012 and will become a global market player. In addition to sustaining its PVC production and expanding the production volume of isocyanates, it focuses on the differentiation of isocyanates moving towards the production of further-processed, specialty goods as well as polyurethane systems and expands the scope of its technical services.
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