[Plastics Industry News] July 2026 — German plastics group Covestro (Leverkusen) has announced a significant expansion of its global MDI (methylene diphenyl diisocyanate) production capacity, launching a strategic investment programme. The company plans to build a world-scale MDI production train at its Integrated Site Shanghai in China, while simultaneously starting a feasibility study for a project in the United Arab Emirates.
This move marks a further deepening of Covestro's strategic presence in both the Asia-Pacific and Middle East markets. MDI is a core raw material for polyurethane foam, widely used in building insulation, furniture and mattresses, automotive seats, and other sectors.
Covestro CEO stated: "This MDI strategic investment programme is a key step in realizing our vision of circular economy and sustainable growth. The Shanghai Caojing site offers world-class infrastructure and complete industrial chain support, making it the ideal location for expanding our global MDI capacity."
Meanwhile, the UAE project feasibility study is actively progressing — marking Covestro's first planned异氰酸酯 (isocyanate) capacity in the Middle East, targeting the rapidly growing construction, automotive, and appliance markets in the region. Market analysts note that as global building energy efficiency standards tighten and demand for lightweight NEVs accelerates, MDI market demand will continue to grow.
Source: Covestro Official | Plasteurope.com | July 2026
