Repsol begins lubricants production in China and Malaysia

Thursday, Jul 07, 2011

Repsol has begun producing lubricants in plants in Guangdong (China) and Kuala Lumpur (Malaysia). The production start-up is a result of the agreement signed in November 2010 between Repsol and the Malaysian industrial UMW group for the production and distribution of Repsol Lubricants in both Asian countries.

The manufacturing of these lubricants is developed with the latest technology and meets Repsol’s image and quality requirements. Production is carried out in 209, 20 and 4 litre drums.

Production is supplemented by exports of products with high added value such as high-end synthetic lubricants for the automotive industry from Repsol’s Puertollano Industrial Complex.

The entry into these markets fits into the strategy of Repsol YPF Lubricantes y Especialidades S.A. (RYLESA), whose objective is the expansion and consolidation of Repsol’s lubricants in Asia in terms of production and sales, with four centres of production (Indonesia, Japan, China and Malaysia) and sales in 11 countries totalling 9.3 million litres.

The agreement with UMW, part of Repsol’s international expansion plan, has a duration of 5 years by the end of which the company expects to achieve a sales volume of more than 20,000 tonnes/year of lubricants, equivalent to more that 25% of Repsol’s annual sales of these products in Spain.

This project will enable Repsol to leverage its competitive and technological advantages as well as its brand recognition in two fast-growing countries such as Malaysia and China. The significant presence of UMW in these areas will allow for an expanded collaboration in other Asian countries such as Singapore, Brunei, Papua New Guinea and Myanmar.

Repsol markets its lubricants directly and through distributors in over 60 countries in America, Europe and Asia. In the latter, the company is present in Indonesia, Japan, China, Malaysia, The Philippines and Taiwan. Repsol has a wide range of technologically-advanced lubricants that meet the highest quality standards in the automotive and motorcycle industries amongst others.

Source: Repsol