Five Pillars Help Deliver on Promises

Q: How is Chemours’ positioning its corporate identity among its clients and within the market?

A: As part of our transformation plan, we have five pillars that have been key in convincing our stakeholders that we can deliver on our promises: an important focus on cost reduction, analysis of businesses and industries in which we participate, definition of locations for adequate investments, improving the organization and market positioning. Our cost reduction strategy is focused on having a flexible and not so robust cost-structure, so we can operate in an intelligent and efficient manner while we continue investing in new products, sites and people. As a result, in 2016 we reduced costs by US$200 million.

Due to our focus on innovation, we understand the macro scenario, global megatrends, possible solutions for coming industry needs, worldwide challenges ahead, what our clients and commercial partners need and what can Chemours do to help them reach their growth goals. However, to accomplish this they need to overcome the challenges this evolution process requires. At Chemours, through the magic and the power of chemistry, we become enablers for companies to innovate their offering.

Q: What is the extent of Chemours’ business activities?

A: Chemours has three business lines: Titanium Technologies, Fluoroproducts and Chemical Solutions. These lines generated a total of US$5.4 billion in net sales in 2016. We are world leaders in titanium dioxide production, which is a white pigment that can be found in everything white that you see in plastics, paper, laminates and paintings. In Mexico, we have the world largest plant in Altamira, Tamaulipas. Fluoroproducts is another business line that represents almost half the company’s sales. We are the world’s leader in this area, which is divided in two: fluoropolymers and fluorochemicals. In the fluoropolymers segment, we have big brands like Teflon, Krytox, Nafion and Viton.

Q: Chemours has a presence in more than 130 countries. Where does Mexico stand in the company’s operations and plans?

A: Mexico will continue being a strategic country in Chemours’ operations. We have been in Mexico for over 90 years but we approach the market with an entrepreneurial mindset. This means we have to understand our client’s needs and how we can help them. In Mexico, we play an important role in the mining industry.

Chemours believes in Mexico and we are sure that the country will continue growing. An example of our commitment is related to the number of investments we are performing. In Altamira, Tamaulipas, we have the largest titanium dioxide plant in the world. Last year, we invested US$580 million in its expansion to build a second production line. There are also plans to establish a new site in Mexico for our mining solutions business that will entail an investment of US$150 million.

Q: Of Chemours’ global operations, what percentage does Mexico represent?

A: Latin America accounts for 13 percent of our total sales, of which Mexico contributes 9 percent. Between local sales and exports, Mexico generates around US$800 million. In Mexico, the sales performance of our mining solutions business becomes relevant even though, worldwide, our mining solutions sales only account for 5 percent of the company’s total sales. A particularity of the country is that our sales here have a balanced distribution between the three business lines.

Q: Which sectors do you expect to contribute to Chemours’ growth in Mexico?

A: The oil and gas industry will generate an economic boom in the country in the coming years thanks to the Energy Reform. At Chemours, we know what this industry needs to continue growing and we know the challenges it will experience and how to help related companies face these challenges.