Shuangxin Materials has invested 996 million yuan to build a project in Ordos, Inner Mongolia, for the production of 16,000 tons per year of high-barrier resins

Thread Content

On the evening of April 2, Shuangxin Materials issued a announcement stating that the 19th meeting of the company’s sixth board of directors approved a resolution to invest 996 million yuan in building a project in Ordos, Inner Mongolia, aimed at producing 16,000 tons per year of high-barrier resin. It is revealed that of the total investment for this project, 970 million yuan is allocated to construction costs, 18 million yuan to funds required for financing, and 8 million yuan to working capital ； The funding comes from 498 million yuan raised by the enterprise itself and 498 million yuan in bank loans. The project construction period is expected to be 3 years. Shuangxin Materials states that the sources of funding for this project include, but are not limited to, own funds and bank loans; the company will make reasonable plans and adjustments based on the actual funding situation and the progress of project implementation. Shuangxin Materials stated that high-barrier resins represent an extension of the company’s vinyl acetate production into downstream industries, and the implementation of a project to produce 16,000 tons of high-barrier resins per year is in line with the company’s strategy to extend, supplement, and strengthen its industrial chain. With the rapid development of the domestic economy, industries such as food, pharmaceuticals, cosmetics, and electronics have an increasing demand for high-performance packaging materials, which has driven rapid growth in the market demand for high-barrier resins. If the company succeeds in commercializing high-barrier resins, it will create new sources of profit growth, effectively enhancing the company’s profitability. This holds significant strategic importance for the company’s sustainable development and for maintaining a competitive advantage in the industry.