Producer

Arlanxeo

HQ SG · Singaporewebsite ↗

Arlanxeo (Singapore; 100% owned by Saudi Aramco since 2018; formerly Lanxess/Saudi Aramco 50/50 JV formed 2016) is a major synthetic rubber producer with EPDM, butyl rubber, nitrile rubber (NBR), and solution styrene-butadiene rubber (S-SBR) product lines. Arlanxeo's EPDM is produced at Geleen, Netherlands (Keltan grades retained under the Lanxess brand after the JV split) and at Triunfo, Brazil. As a Saudi Aramco subsidiary, Arlanxeo has direct access to Saudi petrochemical feedstocks — propylene from Sadara Chemical Company JV (Jubail, Saudi Arabia). Arlanxeo operates manufacturing in Netherlands, Germany, Brazil, Canada, and Belgium. The Saudi Aramco parentage introduces geopolitical considerations: an Aramco-owned company controls EPDM capacity in Europe that supplies automotive and construction supply chains globally.

3

Inputs supplied

3

Goods downstream

3

Facilities

0

Stories

What they make

3 inputs Arlanxeo supplies

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Goods downstream

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What else they do

Business segments

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  • EPDM (Ethylene Propylene Diene Monomer)

    40%
  • Solution SBR (S-SBR)

    25%
  • Butyl & Halobutyl Rubber

    20%
  • Nitrile Rubber (NBR)

    15%

Intelligence

What's known

Sourced claims about this company's role in supply chains — chokepoints, concentration, incidents, dual-use connections.

  • Did you know2022

    Saudi Aramco — the world's largest oil company — owns the dominant European manufacturer of the synthetic rubber that makes EU-label-A tires possible ARLANXEO was created as a 50/50 joint venture between LANXESS (German specialty chemicals) and Saudi Aramco in 2016, then purchased outright by Saudi Aramco in 2018 for €1.4B. The acquisition gave the world's largest crude oil producer direct ownership of the leading SSBR manufacturer — the synthetic rubber mandated by EU tire labeling regulations for A-grade wet grip and rolling resistance. Saudi Aramco thus captures value both at the upstream crude oil level (feedstock for butadiene and styrene) and downstream as the SSBR producer: oil becomes tire polymer becomes the required EU-compliant tread compound. LANXESS retained Aramco as a customer, and ARLANXEO now supplies all major European and Asian OEM tire programs.

    ARLANXEO
  • Origin2023

    Arlanxeo was created in 2016 as a joint venture between Lanxess (German specialty chemicals, itself a Bayer spinoff) and Saudi Aramco, and was fully acquired by Saudi Aramco in 2018. The rationale was straightforward: Aramco provides propylene and butadiene feedstocks from Saudi petrochemical complexes; Lanxess provided the synthetic rubber manufacturing technology and European/global customer relationships. The result is that European automotive EPDM seals, German car door weather-strips, and Dutch roofing membranes are manufactured by a Saudi Aramco subsidiary with feedstocks flowing from Jubail, Saudi Arabia. A OPEC production decision that changes Saudi propylene pricing directly affects the cost of automotive door seals and EPDM roofing membranes in European construction -- a transmission mechanism that neither auto industry analysts nor construction materials analysts typically model.

    Arlanxeo