Japan’s Sumitomo Corporation has set up a joint venture with Thailand’s tank terminal operator, NFC Public Company Ltd. To perform a sulphuric acid tank terminal business.
By obtaining a strategically positioned terminal and leveraging its expertise in sulphuric acid terminal operations, Sumitomo goals to improve operational safety and logistics services reliability, whilst growing a hub for an extended enterprise footprint throughout neighbouring Asian countries.
NFC is a logistics-focused enterprise engaged in warehousing, tank terminal operations for sulphuric acid, ammonia and gas, along ammonia distribution. Its tank terminal is located in Map Ta Phut Port in Rayong Province, providing significant access to eastern Thailand, an area densely populated with petrochemical facilities and strong sulphuric acid demand.
Sumitomo oversees Interacid Group, a primary sulphuric acid trading enterprise working in 16 nations. Interacid handles about 30% of the world’s marine sulphuric acid trade and is known for both its trading functions and ownership of storage tanks. This permits the organization to offer flexible procurement and deliver services, reliably delivering required volumes to clients as demanded. Since the 2010s, Sumitomo has improved its deliver chain by expanding into distribution in Thailand and obtaining a tank terminal enterprise in the US, strengthening functions throughout procurement, income, storage and logistics.
According to Sumitomo, this new joint venture represents a step forward in reinforcing logistics infrastructure in Thailand, wherein it had already been active in sulphuric acid distribution. By acquiring a local terminal, the enterprise will strengthen its base in Asia.
Sulphuric acid is commonly produced by sulphur burning and as a byproduct of nonferrous metal smelting. Global requirement for the chemical is projected to grow from approximately 290-million lots in 2023 to around 330 million lots by means of 2029, mainly for fertiliser manufacturing, alongside increased use in metal smelting at copper, lithium and rare earth metal mines. Asia accounts for about 50% of the global sulphuric acid demand and continues to lead the market.
