Lanxess develops 'floating warehouse' for Asian BR customers

ERJ staff report (DS)

Singapore - Lanxess aims to cut delivery times for BR to customers in Asia by using a new concept - the 'floating warehouse'.

Moving away from traditional warehouse storage space on the mainland the 'floating warehouse' based in Singapore waters was launched in February 2011 and, said Lanxess, has already cut the waiting time for Asian customers by half.

Lanxess estimates the volumes required in the region in a given time period, then ships the material, but without allocating it to specific customers. When the orders come in on short delivery dates, the company can then allocate the volume according to specific customer orders.

“This process is rather unique, because in the past, there was first the sale to the customer and then the shipment, but now, we ship and sell while the material is on the water. This concept clearly underlines our commitment to meet our customers' requirements as quickly as possible,” said Luke Hui, Marketing Director for PBR in Asia-Pacific.

Asia represents the most rapidly growing market for Lanxess business unit (BU) Performance Butadiene Rubbers. This is especially true for the tyre industry, which accounts for about 70 percent of the BU's product portfolio. Demand for performance products within the Asian tyre industry has been rapidly increasing due to increasing production of high performance and environmentally friendly tyres within the region. To meet this growing demand, Lanxess intends to build a world scale high-performance rubber plant in Singapore in the coming years to serve the Asian market.

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Press release from Lanxess