Air Liquide to Invest €60 Million in Wanhua Chemical Group's Development in China

Air Liquide will invest nearly €60 million to acquire and operate an Air Separation Unit (ASU) under a long-term contract with Wanhua Chemical Group, a leading global supplier of innovative chemical products, in Yantai, China. As part of this collaboration, Air Liquide will build, own, and manage a new liquid argon production unit at the Air Separation Unit (ASU), which will be constructed by Air Liquide Engineering & Construction to serve the Industrial Merchant markets in Yantai and the broader Shandong province. This contract marks the first collaboration between Air Liquide and Wanhua, enabling the company to supply industrial and medical gases in Yantai, thereby strengthening its foothold in Shandong.

Under this partnership, Air Liquide will provide significant quantities of nitrogen and oxygen to Wanhua, while leveraging synergies from the ASU, expected to be operational by the end of 2024, to serve local markets for nitrogen, oxygen, and argon. This collaboration will establish Air Liquide as a supplier of industrial and medical gases in Yantai, Shandong's second-largest industrial city, and enhance its presence in the province, which is China's third-largest economy. Air Liquide already operates four ASUs, a hydrogen production plant, a filling center, and a cutting-edge manufacturing facility for ASUs and hydrogen units in the region.

Ronnie Chalmers, Air Liquide Group Vice President for Asia Pacific, stated, "We are honored to become a strategic partner of Wanhua, a world-class chemical company with a robust presence in China and global reach. This long-term contract showcases Air Liquide’s technological expertise and operational excellence. By supplying industrial gases in Yantai, we not only support a dynamic partner but also expand into new Industrial Merchant and healthcare markets, contributing to our 2025 ADVANCE strategic plan."

Liao Zengtai, Chairman of Wanhua Chemical Group, commented, "This collaboration with Air Liquide in Penglai deepens our strategic partnership, propelling both parties into a new phase of long-term development and establishing a solid foundation for achieving more significant outcomes in the future."

Air Liquide operates over 120 plants in China and employs nearly 5,600 people. While it has a strong foothold in key coastal industrial regions, the company is now expanding into central, southern, and western areas. Its primary business activities encompass industrial and medical gas operations, home healthcare services, engineering and construction (including the design, manufacturing, and installation of air separation units and hydrogen facilities), along with innovation initiatives.

Air Liquide is a global leader in gases, technologies, and services for both industry and healthcare. Operating in 60 countries and employing 66,300 people, the Group serves over 4 million customers and patients. Essential small molecules like oxygen, nitrogen, and hydrogen are crucial for life, matter, and energy. These elements represent Air Liquide's scientific focus and have been central to the Group's operations since its founding in 1902.