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Hansen & Rosenthal (H&R) Group Renews Commitment To Malaysia With Additional RM200 million Investment

Hansen & Rosenthal (H&R) Group Renews Commitment To Malaysia With Additional RM200 million Investment

Kuala Lumpur, 18 October 2021 – H&R GmbH & Co. KGaA announced that it will be investing RM200 million in a speciality manufacturing plant in Lumut, Perak. The leading global sustainable refiner and marketer of speciality plasticisers, extender oils, softeners and waxes, headquartered in Hamburg, Germany has more than 100 years of experience operating speciality refineries in manufacturing plants around the world.

H&R announced its investment plan during the meeting between H&R and the Trade and Investment Mission (TIM) to Germany delegation led by YB. Dato’ Seri Mohamed Azmin Ali, Senior Minister and Minister of International Trade and Industry (MITI).

The Group will be establishing a new entity, H&R Chempharm Asia Sdn. Bhd., which will focus on the production of environmentally friendly plasticisers for tyre and rubber applications as well as technical and medicinal white oils for food, pharmaceutical, cosmetics and polymer applications with the new introductory of bio-based products. This investment is anticipated to create 70 new jobs in Malaysia.

H&R plans to kickstart the construction of their facility by March 2022, followed by commencement of production in early 2024. The project will tentatively be carried out in three (3) phases, with a designed capacity of 150,000 tons per annum. Phase I and Phase II will be dedicated to the production of speciality plasticisers, white oils and wax emulsions from mineral, synthetic and renewable resources; Phase III will focus on the production of renewables through uniquely designed synthesising technologies.

Apart from H&R Chempharm Asia Sdn. Bhd., H&R has two (2) existing facilities in Malaysia, namely H&R Malaysia Sdn. Bhd. and H&R Malaysia Wax Sdn. Bhd. in Port Klang and Batu Caves, respectively. These facilities have been in operations since 1990, producing wax speciality emulsions as well as undertaking marketing and distribution activities of various specialty oils and waxes.

YB. Dato’ Seri Mohamed Azmin Ali remarked, “H&R’s investment announcement reflects foreign investors’ confidence in Malaysia’s business environment that remains conducive. The Group has indicated clear goals to reduce its dependency on fossil-based feedstock towards renewable or hybrid feedstock for more sustainable products and speciality applications; eventually to reach carbon neutral in its operation by 2035. This is in line with Malaysia’s commitment to drive reforms in achieving carbon net-zero greenhouse gas (GHG) emissions by 2050. This strategic investment will further support and drive Malaysia’s commitment towards Environment, Social and Governance (ESG) values and advancing green growth as outlined in the Twelfth Malaysian Plan (12MP).”

Mr. Arham Abdul Rahman, Chief Executive Officer (CEO) of the Malaysian Investment Development Authority (MIDA) echoed the Senior Minister, saying, “It is encouraging to see H&R further enhance their venture towards bio-based products in Malaysia. This is a testament to our well-established chemical industry ecosystem that has been an important catalyst to other industries such as automotive, food, medical devices and pharmaceuticals. MIDA, through our Project Acceleration and Coordination Unit (PACU) will work closely with H&R to provide end-to-end facilitation in ensuring the smooth implementation of their project in Malaysia.”

Mr. Niels H. Hansen, CEO and Chairman of the Executive Board of H&R, shared, “The strategic direction and vision of the Malaysian Government for a carbon neutral economy definitely strengthens our determination to further invest in the country. Our investment in Lumut, Perak aims to contribute to a more sustainable growth, focusing on de-fossilisation.”

He further added, “Malaysia, centrally positioned in Southeast Asia, is a sustainable manufacturing hub with rich resources, in both mineral and renewable feedstock, to serve the ASEAN community. As an industry leader in the manufacture and marketing of speciality niche products, we intend to develop a hybrid business model in our project in Lumut to transition production of mineral-based products to renewable specialties with locally sourced feedstock to supply to our global customers who are producing in the region.”


About MIDA

MIDA is the government’s principal investment promotion and development agency under the Ministry of International Trade and Industry (MITI) to oversee and drive investments into the manufacturing and services sectors in Malaysia. Headquartered in Kuala Lumpur Sentral, MIDA has 12 regional and 20 overseas offices. MIDA continues to be the strategic partner to businesses in seizing the opportunities arising from the technology revolution of this era. For more information, please visit www.mida.gov.my and follow us on Twitter, Instagram, Facebook, LinkedIn and YouTube.

About H&R Malaysia

H&R GmbH & Co. KGaA, headquartered in Hamburg, Germany, is a leading global sustainable refiner and marketer of speciality plasticisers, extender oils, softeners and waxes. H&R operates speciality refineries in manufacturing plants around the world and owns as a shareholder a bio speciality refinery in the USA.

For further information, please contact:

Surayu Susah (Ms.)
Email: [email protected] | DL: +603-2267 6773

Sritharen Kittappa (Mr.)
Email: [email protected] | DL: +603 31768314 / +60 0193216894