Alzchem Group AG Plans to Double Nitroguanidine Production in Germany

Alzchem Group AG, a leading special chemicals supplier, plans to significantly increase nitroguanidine production capacity in Germany. An investment of EUR 76 million had already been announced for the preliminary stage. With the new expansion, total investment will almost double. The new plant is expected to boost revenues significantly from 2027, benefiting from existing supply contracts with defense sector customers. The new capacities are projected to be operational by the second half of 2026.

This project, the biggest in the company's history, will include building a new nitroguanidine production plant and renewing existing facilities. A EUR 34.4 million grant from the EU Commission's ASAP funding instrument supports part of this expansion. CEO Andreas Niedermaier highlighted the profound customer support during these challenging times.

Alzchem also plans to expand in the USA, backed by a USD 150 million funding commitment from the US Department of Defense. These investments aim to meet rising global demand for nitroguanidine, especially in defense, plant protection, and automotive industries. CSO Dr. Georg Weichselbaumer emphasized the importance of long-term customer ties amid fluctuating demand.