Air Liquide to Invest Nearly €60 Million in New Air Separation Unit for Long-Term Partnership with Wanhua Chemical Group in Yantai, China
Air Liquide is set to invest close to €60 million to acquire and operate an Air Separation Unit (ASU) as part of a long-term contract with Wanhua Chemical Group, a global leader in innovative chemical products. The project, located in Yantai, China, will also include the construction of a new liquid argon production unit, built and operated by Air Liquide Engineering & Construction, aimed at supplying industrial gases to local markets in Yantai and the broader Shandong province.
This long-term contract, marking the first between Air Liquide and Wanhua, positions Air Liquide as a key supplier of industrial and medical gases in Yantai, further strengthening its presence in the Shandong region. The ASU, expected to be operational by the end of 2024, will produce nitrogen, oxygen, and argon, serving both Wanhua and industrial markets.
As part of this new venture, Air Liquide will supply large volumes of nitrogen and oxygen to Wanhua, leveraging synergies around the ASU. The company will also expand its supply of industrial gases, including argon, to meet the needs of local industrial and healthcare sectors.
This partnership reinforces Air Liquide’s growing footprint in Shandong, China’s third-largest provincial economy. The company already operates four ASUs, a hydrogen production plant, a filling center, and a manufacturing facility that produces ASUs and hydrogen units in the region.
Ronnie Chalmers, Vice President of Air Liquide Asia Pacific, expressed pride in becoming a strategic partner of Wanhua, emphasizing the recognition of Air Liquide’s expertise and operational excellence. He highlighted that this partnership aligns with Air Liquide’s 2025 ADVANCE strategic plan by expanding into new industrial and healthcare markets.
Wanhua Chemical Group Chairman Liao Zengtai also emphasized the deepening of the strategic partnership with Air Liquide, seeing this collaboration as a foundation for future growth and success.
