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The first phase of the 1.08 million tons/year PA66 production project came online. On January 2, 2025, Shandong Longhua New Materials Co., Ltd. issued a announcement regarding the pilot production phase of the 1.08 million tons/year PA66 project (Phase 1) carried out by its wholly-owned subsidiary, Shandong Longhua Polymer Materials Co., Ltd. (referred to as “Longhua High Materials”). Shandong Longhua Polymer Materials Co., Ltd. was established on March 22, 2022. It is a wholly-owned subsidiary of Shandong Longhua New Materials Co., Ltd., and is committed to building green, low-carbon, and efficient smart factories. The company aims to promote the development of the industrial chain and the diversification of its products. Focusing on polyether polyols and nylon 66 as its core areas of activity, it strives to optimize its industrial structure and accelerate the development of new forms of productive capacity. A total investment of 7.3 billion yuan is being allocated to build a PA66 production facility with an annual capacity of 1.08 million tons. According to available information, Longhua High-Performance Materials plans to invest 7.3 billion yuan in building this facility in three phases, over a period of 6 years. Construction is set to begin in June 2022, with completion expected by June 2028. Once all the facilities of the project are completed and put into operation, it is expected to generate annual revenue of around 24.84 billion yuan, with an annual profit of 2.251 billion yuan. Phase 1 involves the construction of a production facility with an annual capacity of 160,000 tons, including 2×40,000-ton/year production units for engineering plastic-grade nylon 66 chips (using continuous processing) and 4×20,000-ton/year production units for fiber-grade nylon 66 chips (using batch processing). Additionally, environmental protection facilities, as well as supporting infrastructure and storage and transportation systems, will also be constructed. Phase 2: Construct a 320,000-ton/year production facility along with supporting facilities. Phase 3: Construct a production facility with an annual capacity of 600,000 tons along with supporting facilities. Project progress: May 16, 2022: The 1.08 million tons per year PA66 production project at Longhua High-Performance Materials officially commenced construction ； October 10, 2022: The Zibo Ecology and Environment Bureau issued a public notice regarding the approval of the environmental impact assessment documents for Longhua High-Performance Materials’ 1.08 million tons per year PA66 production project (Phase 1) ； May 6, 2024: Public participation announcement for the environmental impact assessment of the 1.08 million tons/year PA66 project (Phase I) issued again ； January 2, 2025: Longhua New Materials issued a announcement regarding the pilot production of its 1.08 million tons per year PA66 project (Phase 1). Longhua New Materials stated that the trial production of this project is of great significance for the company’s implementation of its development strategy. It is the result of the company’s commitment to innovation and continuous investment; it further expands the range of the company’s products and promotes its diversified development in the field of new materials. This aligns with the company’s long-term plan to actively develop the new materials industry, helps the company identify new sources of profit growth, prevents significant impacts on its business performance due to fluctuations in certain industries, and enhances the company’s core competitiveness and sustainable development capabilities.