BASF has opened a methylene diphenyl diisocyanate (MDI) manufacturing facility at its Verbund site in Geismar, Louisiana. The company, which produces chemicals and materials including MDI, invested approximately $1 billion in the project, its largest wholly owned investment in the United States to date.

The expansion nearly doubles annual MDI production capacity at Geismar to approximately 600,000 metric tons, making BASF the largest MDI producer in North America. MDI is a raw material used to manufacture polyurethanes, which are used in construction, appliances, transportation, automotive, footwear and furniture.

The project was completed in three phases beginning in 2018. BASF commissioned a new MDI synthesis unit in 2020, expanded upstream units in 2021, and completed the final phase with additional upstream units and a splitter. The final phase incorporated advanced digitalization and technology intended to increase production flexibility and strengthen supply reliability and competitiveness. BASF also increased aniline production capacity at Geismar, supporting its integrated production chain and availability for North American customers in agricultural chemicals, rubber, and dyes and pigments.

BASF executives discuss investment and production capacity

“This significant investment reflects our confidence in the continued growth of the polyurethane market and ensures that our customers benefit from a highly reliable, competitive and locally integrated supply source for years to come,” said Ramkumar Dhruva, president of BASF’s Monomer Division, in a November press release. “With this expansion BASF is taking the lead in MDI production in North America.”

“The United States has long been a key market for BASF, and this $1 billion investment is a strong commitment to our customers and to our future here,” said Dr. Markus Kamieth, chairman of the Board of Executive Directors of BASF SE. “With our new world-scale MDI facility in Geismar, we are strengthening our core businesses, driving innovation and bringing more production closer to our customers.”

BASF executives discuss investment and production capacity

Hyundai Steel plans to open steel plant in Louisiana

Commercial production is targeted to begin in 2029 with an annual capacity of 2.7 million metric tons.

SpaceX plans to build spaceport in Louisiana

The new spaceport will include a propellant production facility, vehicle processing, and its own power generation infrastructure.

Coastal Machine & Supply will expand precision manufacturing facility in Louisiana

The expansion will increase the company’s production capacity and strengthen its engineering and workforce capabilities.

Bio-Lab invests at least $8 million to expand pool care products manufacturing facility in Louisiana

The expansion will add tableting and blending operations to increase finished goods production capacity for the company’s pool care product line.

First Solar officially opens new $1.1 billion Louisiana solar panel factory

The factory officially started production in July, several months ahead of schedule.