Lubrizol signs a Memorandum of Understanding with the government of Maharashtra to purchase a 120-acre tract in Aurangabad to fulfil expanding regional demand and enhance local-to-local supply for transportation and industrial sectors, among other growing areas.

The Lubrizol Corporation, a global leader in speciality chemicals, has signed a Memorandum of Understanding to purchase a 120-acre plot in Aurangabad, India, where it intends to build a new manufacturing facility to initially support the region’s expanding transportation and industrial fluid markets. The project’s initial phase is expected to cost around $200 million, making it the company’s largest investment in India to date, and it builds on past commitments to the region.

When completed, the plant would be the company’s second-biggest manufacturing facility globally and the largest in India. Construction will take place in stages over the following few years, with potential for future expansion.

“Lubrizol has made meaningful investments in India for more than five decades,” says Flavio Kliger, President of Lubrizol Additives. “This new state-of-the-art manufacturing facility will allow us to enhance our local capacity and capabilities for our Additives business with the potential to support other Lubrizol businesses and regions in the future.”

The launch of the Aurangabad plant represents the company’s most recent efforts to expedite expansion and expand its local-to-local capability in the region. In 2023, Lubrizol announced the most major investment in the region in its more than 50-year history, pledging USD 150 million. This investment will support the construction of the world’s largest CPVC resin factory in Vilayat, Gujarat, the doubling of capacity at Lubrizol’s location in Dahej, Gujarat, the establishment of a grease lab in Navi Mumbai, and additional in-country job creation and innovation. In addition, this year, the company established its first Global Capability Centre in Pune as a strategic hub to accelerate regional growth and facilitate tighter collaboration between customers and staff.

“Lubrizol understands the importance of a local-for-local approach, from India-based manufacturing to in-region innovation to continued investment in local talent,” says Bhavana Bindra, Managing Director of Lubrizol IMEA (India, Middle East and Africa). “We look forward to continuing to be partners in progress to our customers and serve as a catalyst for growth and inspired breakthroughs.”

“This announcement underscores our continued commitment to our employees, our partners and our customers in the region,” says Nitin Mengi, Vice President of Lubrizol Additives IMEA and Chairman & Managing Director, of Lubrizol India Private Limited. “The growing transportation and industrial markets in India represent a tremendous opportunity, and Lubrizol is thrilled to be a part of the bright future of these industries.”

In addition to servicing demand in India, this site will provide export opportunities to neighbouring nations and other Lubrizol facilities. The start of manufacturing at the site is scheduled to coincide with Lubrizol’s 100th anniversary in 2028.

For more information, visit: https://www.lubrizol.com/