GC supported the foundation of AVT, one of the largest integrated PVC players in Southeast Asia
PTT Global Chemical Ltd., or GC, has supported an amalgamation between Vinythai Public Company Limited (VNT) and AGC Chemicals (Thailand) Co., Ltd. (AGC-TH) to create a new company named AGC Vinythai Public Company Limited, or AVT. This business restructuring aimed at expanding its overall market and product coverage and bringing it much closer to its target markets, through an integration of PVC and Chlor-Alkali businesses. The new company was officially registered as of 1 July 2022, with GC now holding a 27.32% stake in AVT.
The amalgamation represents a significant development which enables AVT to become a leading producer and supplier of PVC and Chlor-Alkali businesses in the Southeast Asia. Additionally, the move will strengthen GC’s downstream business, which has undergone massive growth, while also adding value to GC’s olefins business by supplying key feedstock for AVT. All of this is part of a corporate re-shaping strategy that will make GC more competitive and at the same time enhance the value of its downstream products.
AVT is a producer of chemical products that are used every day by people from all walks of life. The company is effective in responding to product needs and it has the objective of becoming one of the leading producers of PVC and Sodium Hydroxide (Caustic Soda), especially throughout Southeast Asia where the market for these products is expanding by 4% per annum. Moreover, AVT plans to use the latest technologies to improve energy efficiency to reduce the environmental impact of its operations without compromising its production. Currently, AVT has the potential to produce 450,000 tons of PVC per year, and 720,000 tons of Sodium Hydroxide (Caustic Soda) per year. Moreover, there are plans to increase the capacity of PVC and Sodium Hydroxide (Caustic Soda) to totalling 850,000 and 940,000 tons per year respectively. It is anticipated that these capacity addition will be achieved by the first quarter of 2025.