Bayer broke ground for a new polyurethane plant in Qingdao’s Economic and Development Zone, with a total investment of between CNY200 million and CNY250 million. The project is part of Bayer’s plan to invest €110 million by 2012 to build five downstream facilities in China. One of the uses of polyurethane is isolation of buildings. According to Azita Owlia, Senior Vice President of Bayer MaterialScience’s polyurethane unit in the Asia-Pacific region, buildings are responsible for 40% of energy consumption and almost one-third of greenhouse-gas emissions worldwide. “With China’s construction expenditure rising at 9.1% annually through 2014, sustainability is our business model, and we are committed to helping shape China’s environmental future,” Owlia told China Daily. The 1,000-square-meter office complex at the Qingdao polyurethane plant will have a number of environmentally friendly features such as solar energy, geothermal systems and LED lighting to reduce energy use, and water-recycling capability. Michael Voigt, head of Bayer MaterialScience’s eco-commercial building unit in China, said the Qingdao building will be the fifth such structure developed by Bayer globally and its first in China. The Qingdao plant, scheduled to start production in 2012, will serve customers in diverse industries including automotive, construction, furniture and thermoplastic polyurethane. “Polyurethane demand in China is expected to grow between 7% and 10% on a yearly basis until 2014,” Owlia said. Bayer’s five downstream plants include three polyurethane plants, a new polycarbonate sheet facility and a polycarbonate color compounding and design center. The three new plants will be located in Shanghai, Qingdao and Chongqing, the China Daily reports. Bayer China achieved €2.9 billion of sales in 2010, to which Bayer MaterialScience contributed €1.8 billion.