On September 12, Cabot (China) Investment Co., Ltd. signed a joint venture agreement with Inner Mongolia Hengye-cheng Silicone Co., Ltd., jointly establishing Cabot Hengyecheng High Performance Materials (Inner Mongolia) Co., Ltd., with the two sides holding shares of 80% and 20% respectively.

The new company will invest about 400 Million Yuan in building a world-class fumed silica manufacturing plant with an annual capacity of 8,000 tons in Wuhai City, Inner Mongolia, which will become Cabot’s 7th fumed silica plant worldwide. Based on the premise of acquiring relevant governmental and legal approval, construction of the plant is expected to start in early 2017 and will be completed in 2019. This project has an enduring and stable source of raw materials, which guarantees that Cabot is capable of meeting the market’s increasing demand for high-quality and high-performance fumed silica.