Chemicals & Materials

Lanxess AG

Company Profile Analysis

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Lanxess AG - Chemicals & Materials showcase

Year Founded & Workforce

2003-12-31

15,441 Employees

Industry

Chemicals & Materials

Services

L

Lanxess AG Overview

Company Headquarters: Cologne, Germany

Founded: 2004

Workforce: ~15,441

Company Working: LANXESS AG (LANXESS) is a holding company that offers specialty chemicals, chemical intermediates, additives, specialty chemicals, and plastics. The company operates through four business segments, including advanced intermediates, specialty additives, performance chemicals, and engineering materials. The advanced intermediates segment consists of industrial chemical intermediates, chemical precursors, and specialty active ingredients. The specialty additives segment focuses on the manufacturing specialty additive chemicals, such as plastic and rubber additives, phosphorus-based and brominated flame-retardants, plastic additives, such as flame-retardants and plasticizers, and lubricants. The performance chemicals segment covers application-oriented processes and functional chemical operations. The high-performance materials segment includes plastic engineering materials. The ARLANXEO segment offering synthetic rubber is shut down since April 2018. LANXESS operates around 74 production sites in 33 countries across Europe, the Middle East & Africa (EMEA), North America, Latin America, and Asia-Pacific.

Strategy

LANXESS AG's key strategy is to focus on sustainable growth and innovation while maintaining a customer-focused approach. The company aims to provide solutions that contribute to a sustainable future and invests heavily in research and development to create new products and improve existing ones. LANXESS AG also places a strong emphasis on compliance with laws and regulations, as well as integrity and responsibility among its employees. The company has a global presence and is committed to expanding its reach through partnerships and acquisitions. Additionally, LANXESS AG seeks to continuously improve its operational efficiency and cost structure to enhance its competitiveness in the market.

Company Snapshot

$8,522M

Revenue

15,441

Employees

2003-12-31

Founded

Cologne, Germany

Headquarters

SWOT Analysis

Strengths

  • Diversified revenue base
  • Strong operational performance
  • Substantial revenue base across all the major regions
  • Increasing investments in the high-performance plastics segment
  • Wide offerings serving different end-use industries
  • Globally diversified revenue base
  • Core business operation only in specialty chemicals
  • Considerable investment in the research & development
  • Broad product portfolio
  • Global presence
  • High investments in R&D activities
  • 800 patents
  • Increase in research and development expenses in 2018
  • Regionally diversified revenue base
  • Wide product portfolio catering to diverse market segment
  • Large customer base
  • Advanced manufacturing facility

Weaknesses

  • Poor performance of ARLANXEO business segment
  • Declining performance of ARLANXEO, which accounts for the largest share of its revenue
  • Declining profitability
  • Increasing legal costS
  • Dependency on suppliers
  • Divestment of Belgium rubber plant
  • No recent developments in the global rubber vulcanization market
  • Declining revenue between 2017 and 2018
  • Decline in revenue from the performance chemicals segment
  • Presence of halogenated flame retardants in the current product portfolio
  • High dependency on distributors for supplying products across the globe

Opportunities

  • Strategic initiatives
  • Growing construction and automotive industries
  • New product launches
  • Acquisition of Chemtura in April 2017
  • Strategic investments generate lucrative opportunities as they unlock new potential and improve market position
  • Eco-friendly product manufacturing
  • Strategic initiatives such as switching leather business to South America,
  • Growth opportunities in the Latin American region
  • Divestment of the ARLANXEO business segment to focus on the specialty chemicals business
  • Growing regulations against the use of halogenated flame retardants
  • Positive outlook of the end-use industry

Threats

  • Stringent Registration, Evaluation and Authorisationof Chemicals (REACH) regulations
  • Intense competition in the market
  • Long-term purchase contracts vulnerable to fluctuating raw material prices
  • Intense competition from leading engineering plastics producers
  • Stringent REACH regulations
  • Raw material availability
  • Volatile raw material prices
  • Intense competition
  • Changing environment regulations across the regions
  • Weak US dollar over Euro affects the business earrings
  • Fluctuations in foreign exchange rates may affect the trade

Key Developments

DateApproachDevelopment
November 2021Product LaunchThe specialty chemicals company LANXESS has developed Macrolex Orange HT, a dye that can be used to permanently color plastics with the RAL 2003 shade of orange. This color is increasingly being used to mark live cables in electric and hybrid vehicles as well as components for high-voltage applications. The signal color is intended to alert mechanics and emergency services to the potential danger of electric shock. Photo: LANXESS AG
July 2019ExpansionLanxess has successfully completed the expansion of its Macrolex dyes production plant at the Chempark Leverkusen. With an investment of more than EUR 5 million, the capacity was increased by around 25 percent. The expanded plant was officially put into operation at the beginning of May.

Product Offering

  • Lanxess AG
    • Polyethylene
    • Polyamide
    • Polystyrene
    • Performance Chemicals
    • Advance Intermediate
    • Synthetic Rubber
    • High Performance Material
    • Specialty Additive
    • Others
    • Rubber Vulcanization
    • Inorganic Pigments
    • Cast Elastomers
    • Polyurethane Foam
    • Global Dyes Market

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About the Author

Wantstats Research Team

Wantstats' research desk profiles Lanxess AG as part of our ongoing coverage of the Chemicals & Materials sector, drawing on public company data, filings, and market intelligence.

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Strategy & Business Development Director, Dogan Holding

We got the report in time, we really thank you for your support in this process. I also thank to all of your team as they did a great job.
Noah Malgeri
Noah Malgeri

Co-Founder, Mojave Rail Fabrication Limited

This is really good guys. Excellent work on a tight deadline. I will continue to use you going forward and recommend you to others. Nice job.
Michael Robert

Manager, JavolVision

Thanks, I am so happy that we worked together. Maybe we still can work together in the future.
Joseph Aguayo
Joseph Aguayo

Sales Operations & Pricing Manager, Intel

Thanks. It's been a pleasure working with you, please use me as reference with any other Intel employees.
Bong Lau

Sales Leader, Bamberg

We bought your "2025 report" in 2020. Everything is fine and very good.
Peter Groot Koerkamp
Peter Groot Koerkamp

Account and Business Manager, EFS-Holland BV

Thanks for sending the report it gives us a good global view of the Betaïne market.
Younghwan Choi
Younghwan Choi

Senior Retail Manager, LG Chem

We found the report very insightful! we found your research firm very helpful. I'm sending this email to secure our future business.
Mark Irwin

Management Consultant, Level 21

I am very pleased with how market segments have been defined in a relevant way for my purposes (such as "Portable Freezers & refrigerators" and "last-mile"). In general the report is well structured. Thanks very much for your efforts.
Rob Kooiker

Group Product Manager HVAC & Fire Protection GMA, Rockwool

I have been reading the first document or the study, the Global HVAC and FP market report 2021 till 2026. Must say, good info! I have not gone in depth at all parts, but got a good indication of the data inside!
Jason Lee

R&D Director, Seojin

Thanks for your great support. Appreciate it. Well received report. It helps us to understand market well. We're planning other area of survey in the future, let's keep in touch.
Akif Moroglu

Strategy & Business Development Director, Dogan Holding

We got the report in time, we really thank you for your support in this process. I also thank to all of your team as they did a great job.

Lanxess AG

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