Chemtura Corporation has announced that three of its major production sites are now increasing capacity for its Naugalube® alkylated diphenyl amine (ADPA) liquid antioxidants to prevent predicted future shortages of antioxidants in the automotive petroleum additive industry worldwide. By 2015, the company will increase capacity at its Elmira, Ontario, Canada site by 20%, its Latina, Italy site by 25% and its Kaohsiung, Taiwan site by 10%.

"As the automotive industry sets more stringent regulations and requirements for fuel economy, there will be an unmet demand for antioxidants in the marketplace by 2017," says Kerim Wewer, Head of Asset Management EMEA, Industrial Performance Products, Chemtura Europe GmbH. "We intend to ensure a continuous supply of antioxidants to the industry through these capacity additions along with future expansions."

Automotive applications make up nearly 75% of global antioxidant consumption. When automotive lubricants such as engine oils and transmission fluids are formulated with antioxidants, they provide excellent protection against oil degradation and help reduce automotive emissions as mandated by the U.S. Environmental Protection Agency, the European Union, the Japanese Ministry of Economy, Trade and Industry (METI), and the regulators of other countries.

Antioxidant demand is being driven by greater fuel efficiency standards, particularly CAFE (corporate average fuel economy) standards that are moving the industry toward downsized turbo-charged engines with higher power densities. This, in turn, results in higher engine operating temperatures and accelerated oxidation in engine oil. According to projected growth rates, the demand for antioxidants is expected to increase annually by about 5% through 2018.

"The requirement for superior oxidative stability in automotive formulations is critical and underpins this strong growth," said Michele Ottavio, Automotive Market Manager at Chemtura. "Chemtura is committed to invest in our antioxidant capacity to support this growth and more effectively serve our global customers."