Clariant announces joint venture for novel flame retardants with FUHUA

• Clariant and FUHUA join forces for a new facility producing innovative flame retardants in Leshan, Sichuan Province
• The joint venture, pending authorities' approval, will create halogen-free flame retardants for various end-markets, addressing tightening regulatory requirements
• Expanded capacity at Clariant's state-of-the-art Daya Bay facility, representing a total investment of CHF 100 million and the new Nylostab^™ S-EED production line in Cangzhou further strengthen Clariants position in China

SHANGHAI, November 6, 2025 - Clariant, a sustainability-focused specialty chemical company, today announced its strategic joint venture with FUHUA, focused on developing innovative non-halogenated flame retardants. The new initiative, which is subject to customary approval from relevant authorities, aims to create next-generation phosphorus-based flame retardants to serve several industries like building and construction, automotive, electric and electronic, directly addressing the tightening technical and regulatory environment in these sectors.

The signing of this strategic joint venture agreement is the result of Clariant and FUHUA's joint innovation and R&D strategic cooperation. FUHUA is a renowned leading enterprise in the integrated chemical manufacturing sector. This strategic cooperation fully leverages the advantages and strengths of both Clariant and FUHUA. Clariant and FUHUA join in the commitment to develop new non-halogen flame retardants, adding significant value for their customers. Navigating through the evolving regulatory landscape and responding to their customers' increasingly ambitious sustainability objectives, the new joint venture will strategically position itself to transform the challenges into targeted innovation opportunities. This approach is deliberate and focused on creating sustainable value with new phosphorus-based products that maintain or improve flame retardant performance while meeting regulatory requirements.

"This joint venture marks an important step in our commitment to developing flame retardants that solve both performance needs and regulatory concerns," said Angela Cackovich, Business President Adsorbents & Additives and EMEA, Member of the Executive Steering Committee. “By partnering with FUHUA, a recognized leader in integrated chemical manufacturing, we're combining expertise to create solutions that will help our customers stay ahead of regulatory changes while maintaining the highest performance standards."

The new development initiative comes as regulatory bodies worldwide are implementing stricter controls on traditional flame retardant technologies. Clariant's proactive approach enables the company to anticipate these changes and develop compliant alternatives before customers face regulatory challenges, reinforcing the company's reputation for forward-thinking innovation in specialty chemicals.

"This strategic cooperation demonstrates Clariant's targeted approach to innovation in the additives sector, consistently delivering solutions that address emerging challenges," said Manuel Mueller, Head of Strategy & Innovation. "The new partnership with FUHUA represents another important step in developing products that align with Clariant's commitment to innovation, sustainability, regulatory compliance, and performance excellence."

This latest investment builds upon Clariant's established presence in China, following the CHF 100 million investment in its Daya Bay facility with a second production line for Exolit™ OP flame retardants. This milestone has just been celebrated on November 5th. The company also expanded its capabilities with a second production line for Nylostab S-EED stabilizer in Cangzhou, which opened earlier this week on November 3rd.

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