Rhodia invests in Chinese paracetamol manufacturing plant

Speciality chemicals manufacturer Rhodia has reaffirmed its commitment to the global pharmaceuticals market by making a significant investment in its paracetamol (acetaminophen) manufacturing facility in Wuxi, China.

The company has also decided to close its paracetamol operation in Luling, Louisiana, in 2004 and consolidate production in Roussillon, France, and Wuxi.

The investment in China is primarily earmarked for construction of new units for direct compression paracetamol products and the expansion and improvements of existing units for powder grades. A programme to install new laboratory facilities, upgrade current facilities and improve quality systems is also being implemented. The Wuxi site will then be able to provide the same level of service and dependability as the company's Roussillon and Luling facilities.

Rhodia acquired the Chinese operation in October 2001 and has already upgraded equipment at the site, especially in the areas of purification, packaging, HVAC, steam and electricity. Last month, the European Certificate of Suitability was granted to the Wuxi operation, which is also US Pharmacopeia-compliant.

By consolidating paracetamol production in Roussillon and Wuxi, Rhodia says it will adjust its production capacity to demand levels, and production will be at the same level as before.

'We remain strongly committed to our customers worldwide and to the important North American market,' said Nick Green, president of Rhodia Pharma Solutions. 'The investment in Wuxi and consolidation of our paracetamol operations should improve the long-term health of this business. Together, these actions demonstrate our determination to remain a major provider of important products and services to the pharmaceutical market.'