W.R. Grace Construction Unit Expanding in China

Expansion will boost capacity for production of waterproofing products.

Grace China Ltd., a subsidiary of W. R. Grace & Co., said it plans to expand its facility in Ezhou, China.

The company has entered into an agreement to acquire land-use rights, which is the first step toward developing an expanded facility in the Central China city.

W.R. Grace expects the facility to double the company's production capabilities for waterproofing products and other specialty construction products and chemicals that are sold to Chinese customers and exported to other regions globally.

As many as 80 employees will work at the combined manufacturing and office building on the 10-acre site in the Ezhou Economic Development Zone of Hubei Province, according to W.R. Grace.

In addition to replacing an existing Grace manufacturing plant, the new facility will house technical services, sales, quality assurance, human resources and customer support, according to the company.

The Columbia, Md.-based producer of chemicals and building materials expects to complete the expansion in the first half of 2012.

"This investment in a larger facility enables us to pursue future growth in China and throughout Asia Pacific," said Adam Grose, vice president and general manager of Grace Construction Products-Asia Pacific.

"We continuously evaluate our manufacturing capabilities to ensure that we can meet customer needs and business opportunities. Our expansion will both increase our capabilities while providing a footprint to support our future Asian growth."

Grace's other recent investments in China include its acquisition of Wuhan-based Meilixin New Building Materials Co. Ltd. this past November, and the opening of a new manufacturing facility in Chongqing, China, to expand cement and concrete additives capabilities.

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