Honeywell (NYSE: HON) and Ruichang Petrochemical Equipment Co., Ltd. today announced that they have signed an agreement to set up a cooperative enterprise in China to provide more energy efficient and environmentally friendly combustion equipment for China's refining and petrochemical industry And the solution. The new company will be incorporated into Ruichang's current business, with Honeywell holding the majority stake in the new company. The relevant procedures are pending approval by the government department.
The new company will be located in Luoyang, Henan Province, is expected to be completed by the end of the third quarter of 2012, and put into operation at the end of the year. The new company is responsible for the design and production of industry-leading environmentally friendly burners, torches, incinerators, sulfur recovery equipment and fluid catalytic cracking process related products. These technologies and solutions are widely used in the petrochemical and refining industries, with an estimated market size of approximately RMB 1 billion. Environmentally friendly combustion technology can help industrial customers to improve energy efficiency and significantly reduce waste and nitrogen oxide (NOx) emissions, so as to meet China's stringent emission standards. As China moves towards a greener and sustainable economy, the government's standards for industrial emissions are increasing.
The new company also plans to build a world-class burner test and research center in Luoyang to develop innovative combustion control technology and provide test services for burner products to drive them fasterfield. The R & D center will be the largest research and development center in Asia, and the first burner test and research center in Asia to meet Western product performance standards.
"Ruichang is a leader in China's industrial combustion market and a technology leader in the market for low nitrogen oxide environment-friendly burners, which is a useful extension for the development of industrial combustion in this important market in China." Said Beth Wozniak, Global President of Honeywell Environmental Automation. "China will double its refining capacity during the 12th Five-Year Plan, which is the complementarity of the two companies in terms of technology, R & D and market experience, and will create a leading supply of combustion equipment in China Business and innovation technology leader.
"Honeywell is a leading global industry leader and we look forward to working with Honeywell to develop the best and most environmentally friendly industrial combustion solutions," said Lu Bo, General Manager of Ruichang Petrochemical Equipment Co., Ltd. "
Combustion equipment (including flares, burners and incinerators, etc.) can be used to incinerate the harmful substances produced during the refining process and to prevent the harmful substances from contaminating the natural environment.
Honeywell is one of the Fortune 100's diversified, state-of-the-art manufacturing companies in the world, with businesses involved in aviation products and services, building, home and industrial control technology, turbochargers and specialty materials. Honeywell's history in China dates back to 1935. At that time, Honeywell opened its first distribution agency in Shanghai. At present, Honeywell four business groups have been settled in China, under the jurisdiction of all business units of the Asia-Pacific headquarters have also moved to China, and in China's 20 cities with a number of branches and joint ventures. Honeywell's presence in China is about 12,000.