October 19, 2016
- Production facility will entail a $16 million investment expected to create more than 100 jobs within the first three years of operation –
Armacell, a global leader in flexible foam for the equipment insulation market and a leading provider of high performance engineered foams, announced today it is moving forward with plans to build a new manufacturing facility in Bahrain, which will be located at the Bahrain International Investment Park (BIIP). Armacell will produce elastomeric rubber insulation for the heating, ventilation and air conditioning (HVAC) market in the GCC and Africa.
Resilient economic growth and strong demand within the construction sector has driven demand for HVAC products in the region. Bahrain has seen strong growth among businesses looking to service this demand within the Middle East region, possessing the Gulf’s most efficient processing of trade goods with the shortest travel time between seaport, airport and logistics processing zones. Bahrain is also connected to the GCC’s biggest economy, Saudi Arabia, via a 25km causeway.
The Bahrain Economic Development Board (EDB) assisted Armacell throughout their setup and registration process in Bahrain.
H.E. Mr. Zayed R. Al Zayani, Minister of Industry, Commerce and Tourism said: “The Bahraini government has created world class infrastructure greatly benefiting companies such as Armacell, and businesses are increasingly realizing the logistical and economic benefits of locating here. Choosing Bahrain as a location for Armacell’s manufacturing facility is a reflection of investor confidence and testament to our business friendly environment. This is a very exciting project, and we look forward to working closely with Aramcell, as they develop their business model”.
Khalid Al Rumaihi, Chief Executive of the EDB said: “We are proud to see Armacell´s progress in establishing its new manufacturing facility in Bahrain. Specialist manufacturers like Armacell have an important role to play in enabling the growth and diversification of the region’s economy, as well as directly creating jobs. We are delighted to welcome them here and look forward to their continued development and success.”
Neville D’Souza, General Manager, Armacell Middle East Company (AMEC) said: “We are very pleased with the speedy progress we have made in establishing our first manufacturing plant in Bahrain. We are excited to begin our operations and to take advantage of the opportunities within the Gulf market. The EDB has been supporting us from the start in our endeavour.”
Armacell is a world leader in flexible insulation foams for the equipment insulation market and also a leading provider of high performance engineered foams. In 2015, the company, with approximately 2,800 employees and 23 production plants, in 16 countries, generated net sales of 540.2 million Euros.
Armacell operates within two main businesses: advanced insulation; which develops flexible foams for the insulation of technical equipment utilized for the transport energy – such as heating, ventilation & air conditioning (HVAC), heating and plumbing (H&P) in residential and commercial construction; as well as process lines in industries such oil & gas, transportation equipment and acoustics.
High performance engineered foams developed by Armacell, are used in a broad range of end markets including transportation, automotive, wind energy, sports and construction. Armacell’s products significantly contribute to global energy efficiency. For more information, visit www.armacell.com.
Bahrain’s manufacturing sector contributes considerably to the Kingdom’s economy, accounting for over 14.6% of real GDP, having grown by 20% over the past 5 years; it is the second largest contributor to Bahrain’s economy in the non-oil sector.