The new plant, which is scheduled for start up in 2015, will have a production capacity of 100,000 metric tons per year.

The chemical park also houses various production plants, including facilities that produce integrated isocyanates, polytetrahydrofuran (PolyTHF®) and polyisocyanate (Basonat).

BASF Global Polyamide and Intermediates Business Unit senior vice-president Hermann Althoff said, "The demand for polyamide products in the engineering plastics, fiber and film industries will grow strongly, particularly in China."

"The investment enables us to participate in this growth and supply our Asian customers with locally manufactured high performance products," Althoff added.

BASF President and Chairman Greater China and Functions Asia Pacific Albert Heuser said, "As part of our long-term strategy, we aim to locate production close to our customers in the Asia Pacific region, so that we can better support their growth, operate more efficiently and collaborate more closely."

"BASF intends to grow two percentage points above the market in Asia Pacific and maintain our commitment to environmental protection as well as ensuring a positive contribution to society for a sustainable future," Heuser added.