USA | Investments

Yara Industrial expands in the US

Yara has opened two new Diesel Exhaust Fluid (DEF) terminals and extended capacity at a third, as part of continental expansion. DEF, known as AdBlue in Europe, is marketed under Yara's Air1 brand.

6/27/2014

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Yara’s NOx abatement business is increasing and expanding in key growth markets. Over the last year, Yara has steadily stepped up its business in North America, initiating production and distribution of DEF at its facility in Belle Plaine, Canada last year. The two new DEF terminals opened in early May in Stockton, California and Tampa, Florida. The deep-water terminals will provide increased access to Air1 DEF to distributors and fleets on both coasts. 

Commitment to customers

"The addition of the Stockton storage facility, along with our existing facility at Port Hueneme, means that Yara has the largest DEF storage capacity on the West Coast," says Chad Dombroski, Director of Yara Environmental Solutions, North America. "Our new large-scale DEF storage facility in Tampa is the first in the state."

"Bringing both Stockton and Tampa on line at the same time signals a step change in our ability to provide reliable supplies of DEF, and demonstrate our commitment to expand our supply chain network," adds Ed Wells, Yara North America's Vice President of Yara Environmental Solutions.

"The Stockton and Tampa terminals allow us to end our use of third party product there, and give us the opportunity to increase market share," explains Yara’s Industrial Marketing Specialist Shelly Peterlin. "We have also increased our rail-car fleet which will allow us to penetrate inland sites with Yara's product."

These terminals are served by large boats. "A vessel usually moves between 5000 and 12000 metric tons of product at a time and drops off at 3-4 of the terminals on the east coast of the US: Bayonne, Baltimore, Chesapeake, Tampa or Houston. A west coast ship drops product off in Port Hueneme and Stockton. 

New expansions on the horizon

All this builds on Yara's rapid investment over the past three years in storage terminals such as Houston, Texas, and Chesapeake, Virginia, and our DEF production and distribution facility in Belle Plaine, Canada.

"These investments are in sync with the rapid growth of the market," adds Chad. “Yearly DEF consumption by heavy-duty vehicles in North America is expected to exceed 400 million gallons reach 1,5 Million tons by 2015, and over 4 million tons by 2020.”

The recent initiatives undertaken by Yara North America, in line with the overall strategy presented by Yara’s Head of Industrial, Yves Bonte. “We aim to continue steady, organic growth in Europe, and to utilize our extensive supply network for environmental solutions in North America”. Yara’s plans do not stop here, “the next market in line is Latin America, where we see legislation spurring demand for NOx abatement solutions”, Bonte concludes.