The latest membrane electrolysis technology is expected to increase chlorine production at the Frankfurt facility from 165 kilotons to 250 kilotons.
Besides using as a disinfectant for drinking water and in swimming pools, chlorine is also used in the production of 85% of all pharmaceuticals.
The Frankfurt facility, which the company took over in 2009 as part of the LII Europe acquisition, will raise current capacity by around 50%.
The facility is due to come on stream in the fourth quarter of 2013.
AkzoNobel Industrial Chemicals MD Knut Schwalenberg said converting to the most modern membrane technology will strengthen their expanding chloromethanes business while significantly increasing capacity at the heart of the German chlor-alkali market and emphasizing confidence in the market as a whole.
AkzoNobel Industrial Chemicals operates the chlor-alkali and chloromethanes operations in Frankfurt.