The two companies said on Tuesday that Woodlands chemical manufacturer Huntsman Corporation and South Korean polyurethane polyol producer KPX Chemical have formed a joint venture called KPX Huntsman Polyurethanes Automotive Co. 

The two companies said on Tuesday that Woodlands chemical manufacturer Huntsman and South Korean polyurethane producer KPX Chemical have formed a joint venture called KPX Huntsman Polyurethanes Automotive Co.

The joint venture will produce and supply polyurethane to Korean automakers through the specialty polyurethane manufacturing plant at the KPX Chemical Plant in Ulsan, South Korea.

The transaction combines Huntsman's global supply chain and polyurethane production (used in foam, insulation, textiles and automobile manufacturing) with KPX Chemical's polyol technology. Polyols are alcohols with three or more hydroxyl groups and are used in most car seats, armrests and headrests.

The operation of KPX Huntsman Polyurethanes Automotive Co. is expected to begin at the end of October. 

Performance products: Huntsman increases production capacity of polyurethane catalysts and specialty amines

Kim Moon-young, president of KPX Chemical, said that the new joint venture will help the company meet the growing demand for autonomous vehicles and electric transportation solutions to support South Korea’s mission of achieving national carbon neutrality by 2050.

Tony Hankins, President of Huntsman Polyurethane Division and CEO of Huntsman Asia Pacific, said in a press release that for Huntsman, continued business growth in the automotive industry is a "priority."

Under the guidance of CEO Peter Huntsman, Huntsman Corp. focused its business on a product portfolio including specialty chemicals such as polyurethane.

Huntsman said this month that it will expand the performance products division of its manufacturing plant in Hungary to meet the growing global demand for polyurethane catalysts and specialty amines that are used in automobiles and transportation, coatings and adhesives, Construction and construction, electronics and industrial manufacturing. This multi-million dollar investment project is expected to be completed in mid-2023. 

Driven by President Joe Biden’s climate policy, growing demand, and new models from automakers, the pattern of electric vehicles continues to expand.

Huntsman Corp. is accepting it and is also increasing the production of ethylene carbonate at its Conroe plant, which is used to operate lithium-ion batteries for electric vehicles. By mid-2023, the company will add a new series of high-purity ethylene carbonate for electric vehicle battery applications.

"Electronic cars will have five times as many circuits and electronic devices as diesel cars. This is an opportunity," CEO Peter Huntsman told the Houston Chronicle in March.

Marcy de Luna is a business reporter for the Houston Chronicle. 

A deadly disease is rapidly killing corals in Florida. Researchers are observing whether it reaches the Garden Bank National Marine Reserve.