Sales of vehicles and a rise in economic activity in India and Northeast Asia are driving up demand for lubricant oils and, in turn, for additives, Olivier Keiser, leader for lube additives at Songwon, told Lube Report Asia.

Additionally, a strong awareness and desire of customers to care about environmental issues – and consequently governments tightening emission limits and improving fuel quality standards -and longer engine lifetime with reduced service intervals… are driving the usage of additive consumption, in particular antioxidant usage, Keiser explained.

Besides Songwon, several global additive companies like Lubrizol, Chevron Oronite, Infineum and Afton Chemical are investing in factories that make lube additive packages in Asia, driving up demand for locally sourced additives, said Keiser.

Songwon is currently investing significantly in upgrading its production facilities and capacities, developing its product portfolio, extending its market presence in the regions to be able to sustain current and anticipated future demand for antioxidants in close collaboration with key customers, he said. Songwon currently supplies antioxidants, as well as other products, to South Korea, Japan, China, Vietnam, Thailand, Malaysia, Indonesia, India, Taiwan and Australia.

Songwon is headquartered in Ulsan, South Korea, and claims to be the largest antioxidant supplier in Asia and second largest supplier for these chemicals in the world. It also manufactures chemicals such as polymer stabilizers, alkyl phenols and alkyl cresols, plasticizers, tin intermediates and polyutheranes, among others used in the plastics industry.

Songwon has 10 manufacturing facilities in South Korea, Germany, China, United States, India and the United Arab Emirates, as well as two joint venture facilities in China, one currently under construction.