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Honeywell invests in US R1234yf production

Honeywell and some of its key suppliers are investing around $300m in increase production capacity for R1234yf in the United States.
Honeywell will construct a high-volume manufacturing plant using new process technology at the company's existing Geismar, Louisiana, refrigerants manufacturing site, which is expected to be fully operational in 2016. The exact size of the plant will depend on supply agreements that Honeywell is putting in place with major customers.

'Demand for R1234yf is increasing around the world in response to concerns about greenhouse gas emissions and the need to comply with the Mobile Air Conditioning (MAC) Directive in Europe and Corporate Average Fuel Economy (CAFE) regulations in the US,' said Andreas Kramvis, president and chief executive officer of Honeywell Performance Materials and Technologies. 'After many years of analysis by the automotive industry, policymakers and environmental groups, it is clear that R1234yf is a safe, effective and robust solution to address global warming and fuel efficiency. Honeywell's investments will ensure adequate supply to meet growing demand.

'A significant portion of European demand for the current automobile refrigerant, R134a, is currently supplied from the U.S., so our new production plant in Louisiana will mirror this arrangement,' Mr Kramvis said. 'However, Honeywell is also looking at the possibility of building a plant in Europe, but this will be driven by demand and the requirements of that market.'

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