Sabic, a global leader in the chemical industry has partnered with KraussMaffei HighPerformance AG, KraussMaffei's Swiss subsidiary, to advance the existing application center for thin-wall packaging at the Netstal plant in Näfels, Switzerland.

The collaboration also plans exchange of mutual know-how in the fields of polymer technology and processing.

The official launch of the cooperation, which will focus on application, material and processing innovations in the thin-wall packaging industry through collaboration across the segment's entire value chain, is scheduled for the first quarter of 2021.

Nusaned and A&BC officials signing the agreement

“This is a major investment in synergy for us,” stated Sergi Monros, Sabic Vice President of Performance Polymers & Industry Solutions, Petrochemicals. “Together with Netstal, we will bundle our expertise in polymer science and processing to enable new material and injection moulding solutions for the competitive edge of customers throughout the thin-wall packaging industry and beyond.”

Sabic will be using the Innovation Center to develop material solutions with potential for improving important properties of thin-wall packaging applications, such as balance of stiffness, impact strength, cycle time reduction and sustainability. The Netstal Product Packaging portfolio can be further optimised as a result of improved material and process insights.

The Innovation Center will be fully equipped and expanded with advanced new development, processing, material and application testing facilities tailored to the needs of the packaging industry, including a dedicated laboratory for state-of-the-art injection moulding and part performance evaluation.

“We are pleased to welcome Sabic at our Netstal business headquarters here in Switzerland, which has a long history in innovative technologies for thin-wall injection moulding,” said Renzo Davatz, CEO of KraussMaffei HighPerformance AG. “The collaboration with Sabic will add significant momentum to the further development and commercialisation of our product portfolio for innovative new thin-wall packaging applications.”

“The joint application center will help us accelerate the pace of innovation and respond to our customers’ needs for changing market trends,” added Waleed Al Shalfan, Sabic Vice President Technology & Innovation for Polymers. “It will be instrumental in looking at our business practices from a more collaborative angle to turn global challenges into opportunities that add lasting value to us, our customers and society.”

Nusaned signs deal

Meanwhile, Nusaned Investment, a Sabic-owned investment company, has signed an investment agreement with Abdulaziz and Brothers Company (A&BC) to own and operate a manufacturing facility of personal protective equipment (PPE).

The deal between Nusaned Investment, through Nusaned Fund managed by Albilad Capital, and A&BC will further strengthen the position of the company and accelerate its development as well as its regional and domestic outreach.

Located in Jubail, A&BC is a new manufacturing facility specialised in producing PPE specifically helmets, protective glasses and cut resistant gloves for the industrial and construction sectors. It will be one of the first local PPE producers in the Kingdom.

A&BC has also entered into an agreement with a global leader in the PPE industry.

“The investment agreement is in line with Nusaned Investment guidelines and aligns with Sabic’s localisation programme as it presents a great import substitution opportunity in the personal protective equipment and high localisation potential enabling one of the objectives of Saudi Vision 2030,” said Faisal Albahair, CEO, Nusaned Investment.

“The Saudi PPE market is valued at around SR1.46 billion ($390 million) with insufficient local production to meet the growing demand for helmets, gloves or glasses. This agreement will make a notable contribution to local content, serving the economic diversification objectives of the Kingdom,” said Fahad Alnaeem, CIO, Nusaned Investment.

As per the agreement, Nusaned Investment, in addition to providing equity funding for the PPE project, will also offer tailored support under Nusaned’s umbrella including human resource support by assisting A&BC in attracting and hiring necessary talent and facilitate the training of new hires through the use of Sabic training programmes.

The A&BC agreement is aligned strategically with both KSA and Sabic objectives to support local content and the National Industrial Development and Logistics Program’s ambitions of transforming the Kingdom into an export hub and promoting local content in the industrial sector.