Borealis commits over EUR 100 million to expand polypropylene compounding capacity in Austria to meet rising demand for sustainable materials

Photo: Borealis invests over EUR 100 million in its production location in Schwechat, Austria, to expand polypropylene compounding capabilities

(IN BRIEF) Borealis is investing over EUR 100 million to expand its polypropylene compounding facilities in Schwechat, Austria, with a new line set to begin operations in the second half of 2026. The project will significantly increase supply of advanced PP compounds for consumer products, mobility, and infrastructure applications, supporting customers in meeting performance standards and sustainability goals. Polymer compounding combines polypropylene with additives, fiberglass, or recycled content to produce tailored materials with durability, heat resistance, and lightweight properties. Borealis’ compounds are used in appliances, electric vehicles, and protective coatings for pipelines. This marks the company’s third major investment of 2025, following expansions in energy and recyclable foam production. CEO Stefan Doboczky emphasized that the initiative reflects Borealis’ expertise in circular solutions and commitment to transforming innovation into practical outcomes under its We4Customers strategy.

(PRESS RELEASE) VIENNA, 5-Sep-2025 — /EuropaWire/ — Borealis has announced a major investment of more than EUR 100 million to expand and modernize its polypropylene (PP) compounding facilities in Schwechat, Austria. The new production line is scheduled to be operational in the second half of 2026, significantly boosting capacity for advanced PP compounds that are essential in consumer products, mobility solutions, and infrastructure applications.

The expansion is part of Borealis’ We4Customers strategy, reinforcing the company’s role as a trusted partner in providing sustainable, high-performance materials that help customers achieve both performance benchmarks and long-term sustainability targets.

Enhancing specialty compounding expertise
Polymer compounding involves blending resins such as polypropylene with additives, fiberglass, or recycled inputs to produce tailored compounds with specific properties, including heat resistance, durability, and lightweight performance.

Borealis’ advanced PP compounds are widely used across multiple sectors:

• Consumer products and appliances: delivering durable and recyclable solutions that address diverse household needs.
• Mobility: offering lightweight plastics that extend the range of electric vehicles and support compliance with new EU requirements for recycled content.
• Infrastructure: providing high-performance protective layers for steel pipes in high-temperature oil and gas transportation.

Strategic investments driving growth
“This is our third significant investment in 2025, following the expansion of our energy business and the increased capacity for recyclable, lightweight polymer foams,” explained Stefan Doboczky, Borealis CEO. “Over the past decade, Borealis has become a leader in circular solutions that combine innovation and quality. By expanding our PP compounding capacity, we can supply even more of the specialty materials our customers need to meet demanding performance requirements while advancing their sustainability goals. This project translates innovation into real-world results, embodying our We4Customers strategy.”

The Schwechat expansion strengthens Borealis’ ability to respond to growing demand for advanced plastics that enable sustainable progress in key sectors. By investing in Austria, the company also reinforces the long-term importance of Schwechat as a hub for innovation and production excellence.

About Borealis
Borealis is one of the world’s leading providers of advanced and sustainable polyolefin solutions. In Europe, Borealis is also an innovative leader in polyolefins recycling and a major producer of base chemicals. We leverage our polymer expertise and decades of experience to offer value-adding, innovative and circular material solutions for key industries such as consumer products, energy, healthcare, infrastructure and mobility.

With customers in over 120 countries and head office in Vienna, Austria, Borealis employs around 6,200 people. In 2024, we generated a net profit of EUR 566 million. OMV, the sustainable chemicals, fuels and energy company with a focus on circular economy solutions, headquartered in Vienna, Austria, owns 75% of our shares. The Abu Dhabi National Oil Company (ADNOC), based in the United Arab Emirates (UAE), owns the remaining 25%.

In re-inventing essentials for sustainable living, we build on our commitment to safety, our people, innovation and technology, and performance excellence. We are accelerating the transformation to a circular economy of polyolefins and expanding our geographical footprint to better serve our customers around the globe. Our operations are augmented by two important joint ventures: Borouge (with ADNOC, headquartered in the UAE); and Baystar™ (with TotalEnergies, based in the US).
www.borealisgroup.com | www.borealiseverminds.com

About Borealis in Schwechat, Austria  
Borealis Polyolefine GmbH is part of the Borealis Group. The Schwechat site produces polypropylene (PP) and polyethylene (PE) as raw materials for the plastics processing industry. The plant in Schwechat is one of the most modern and important plastics production facilities in Europe with an annual polyolefin capacity of around 1 million tons. A total of around 550 people are employed in the areas of production, health, safety & environment, maintenance, purchasing, finance & controlling, quality control, logistics, IT, human resources and legal. The main markets for Schwechat are Austria, Germany, Italy and Switzerland, for infrastructure, advanced packaging and automotive applications.

Media Contact:

Group Media Desk
+43 1 22 400 899 (Vienna, Austria)
media@borealisgroup.com

SOURCE: Borealis