Aorun announces bold expansion in global additives market by 2026

Juan Tang, founder and CEO of Jiangsu Aorun Advanced Materials (Aorun) outlined the company’s ambitious growth strategy during the ALIA/F&L Asia Lubricants Exhibition, held in Kuala Lumpur, Malaysia, from September 9-11. 

Aorun, a relatively young player in the Chinese additives market, is one of several Chinese companies entering the global additives space to supply high-volume commodities, such as ZDDP. Incorporated in 2015, Aorun commissioned its first additive component line (TBN) in 2022. By 2023, the company had achieved USD15 million in revenue, and in 2024, it commissioned its second additive component line (ZDDP), while growing its workforce to over 200 employees.

Tang revealed Aorun’s five-year plan, which includes establishing a new R&D centre in Nanjing and fully commercialising new additive components and licensable additive packages. By 2025, Aorun aims to produce 15 kMT of phenate and 9 kMT of LABSA, a sulfonic organic acid, while expanding its offerings to include dispersants and salicylates by 2026. This aggressive expansion signals Aorun’s intention to become a major player in the global additives market.

In contrast, Richful, one of China’s largest additive manufacturers, was founded in 1996 and boasts over 40 product categories and 200 finished lube additive products. Richful went public on the GEM of the Shenzhen Stock Exchange in 2020 and currently has an annual production capacity of 400,000 MT, supplying over 600 global customers across 50 countries and 80 ports.

During the Lubricants Exhibition, Jackson Lim, general manager, Xinxiang Richful Lube Additive Co. Ltd, announced plans to almost double its production capacity to 760,000 MT by 2026, with two new plants currently under construction. The company also plans to expand its global footprint by opening new offices in the U.S., Brazil, and the UK. Richful attributes much of its ongoing growth to strong investments in R&D, spending approximately RMB100 million (USD14 million) annually on innovation.

Vincent Mao, global lubricant additive sales director at Rianlon Corporation, discussed the key business and product applications of Jinzhou Kangtai Lubricant Additives Co., Ltd. (Kangtai), a subsidiary of Rianlon and the largest lubricant additive trader in China. He highlighted the completion of Phase II of Kangtai’s expansion late last year, which added 50,000 tons per year of production capacity for phenates, salicylates (sulfonates), and ZDDP, bringing their total capacity in China to 200,000 metric tons annually.

Mao outlined the company’s plans to develop a “very strong” product line for transmission and industrial applications, with a third expansion phase to focus on unique components suitable for the industrial sector. He also mentioned several innovative projects, including low-TPP and zero-TPP phenate solutions for the European marine market, new energy vehicle (NEV) transmission solutions for e-axles, dual-fuel marine lubricants, and renewable, bio-based raw material alternatives.