Abu Dhabi’s TA’ZIZ and India’s Reliance to launch chemicals production facility

Abu Dhabi’s TA’ZIZ and India’s Reliance Industries Limited agreed to launch a new joint-venture that will construct and operate a Chlor-Alkali, Ethylene Dichloride (EDC) and Polyvinyl Chloride (PVC) production facility, with an investment of more than US $2 billion.

The companies said that the new joint venture will manufacture critical industrial raw materials for the first time in the UAE. The project will enable the substitution of imports and the creation of new local value chains, while also meeting growing demand for these chemicals globally, they said in a statement.

“India’s need for PVC to propel its growth, and the value from the abundantly available feedstock in UAE, provides a win-win partnership for both companies. Close cooperation in the region based on shared objectives is key as we optimise resources and work together to enrich the lives of our citizens,’ said Reliance Industries Chairman and Managing Director, Mukesh D. Ambani.

Chemicals is a priority sector for the UAE’s industrial growth strategy. The Ministry of Industry and Advanced Technology has the goal to raise the UAE’s industrial sector’s contribution of national GDP to AED300 billion by 2031. 

“This joint venture marks a major milestone in ADNOC’s downstream expansion and the development of the TA’ZIZ Industrial Chemicals Zone. It will help strengthen domestic supply chains, drive In-Country Value and accelerate the UAE’s economic diversification, in line with the leadership’s wise directives,” said  Dr. Sultan Ahmed Al Jaber, UAE Minister of Industry and Advanced Technology and ADNOC Managing Director and Group CEO.

The chemical sector has a wide range of industrial applications. Chlor-Alkali, for example, enables the production of caustic soda which is important for  the alumina refining process.