Mercedes-Benz M-Class instrument Panel Made with STAMAX long glass fibre reinforced polypropylene.
Mercedes-Benz M-Class instrument Panel Made with STAMAX long glass fibre reinforced polypropylene.

The agreement enables SABIC IP to supply North American automotive customers from a local production site.

SABIC IP’s STAMAX long glass fibre reinforced polypropylene (PP) composites were launched in North America in September 2008. STAMAX products are used in the automotive industry in components including front-end modules, door modules, instrument panels, center consoles, underbody shields, seating systems, liftgates and tailgates.

“We believe the American automotive industry plays a pivotal role in the design and development of automobiles on a global basis,” says Greg Adams, vice president, Automotive for SABIC Innovative Plastics. “The expansion of STAMAX composite production in North America and the RheMax acquisition are key aspects of SABIC Innovative Plastics’ growth strategy to further strengthen our position as a leading supplier and to meet the global specification needs of customers with local production.”

As a part of the agreement, RheTech existing RheMax long glass fibre reinforced PP composite products will be integrated under the STAMAX product line and brand name. The transaction includes only the RheMax long glass fibre reinforced PP product line; RheTech will continue to provide its other compounded polyolefin products and services to its customers.

"This is a win-win situation for both sides and customers,” said John Levinson, president and COO of RheTech, of Whitmore Lake, Michigan, USA. "SABIC Innovative Plastics gains immediate North American product and production capability, the customers gain a global product and supply base, and RheTech will reinvest and redirect its resources to develop new products and technology for the customers of its core polyolefins compounding business."