Chevron Oronite to expand lubricant additive facility in China

Chevron Oronite has announced a significant expansion of its lubricant additive facility in Ningbo, China. This decision underscores Chevron Oronite’s commitment to enhancing its manufacturing capabilities and strengthening its supply chain to meet growing demand in China and across Asia.

Chevron Oronite first revealed its plan to build a manufacturing plant in China in 2015, selecting Ningbo as the preferred location in mid-2018. Located within the Ningbo Economic & Technical Development Zone (NETD), the facility benefits from proximity to the Ningbo Port, one of the world’s largest ports by annual cargo throughput. Construction began in late 2018, with the plant becoming fully operational in 2020 and starting commercial production in 2021.

“This investment underpins Chevron Oronite’s dedication to provide exceptional reliability and reinforces our commitment to our customers in China,” said Mitra Kashanchi, president of Chevron Chemicals. Kashanchi added, “Through our agreement with NETD, this next phase of development in Ningbo will better position us to help meet the needs of China’s market while maintaining close proximity to customers and critical raw material supply.”

Expansion plans

The expansion project, set to commence in July 2024, is expected to be completed by late 2026. This project aims to provide flexibility and security of supply for select products not only in China but also across Asia and globally.

Keng Yang Lim, general manager of Manufacturing and Supply Chain for the Asia-Pacific Region at Chevron Oronite, expressed pride in the Chevron Oronite China team for their dedication. “With their learnings from the successful construction, start-up, and operations of the Ningbo plant, I am confident that the project team has a strong foundation to build on for this expansion that will help ensure the project is executed safely and reliably,” said Lim.