Dongfang Shenghong (000301) announced on the evening of July 16 that the company’s secondary wholly-owned subsidiary Guowang High-Tech Fiber (Suqian) Co., Ltd. will invest in the construction of a super-simulation functional fiber project with an annual output of 500,000 tons to produce polyester. Filament POY (pre-oriented yarn), FDY (fully drawn yarn). The project is expected to have a total investment of 3.958 billion yuan and a construction period of 2 years.
Basic information of the investment project:
Project name: Guowang High-tech Fiber (Suqian) Co., Ltd. Annual production of 500,000 tons of super-simulation functional fiber project.
Implementation address: This project is located on the east side of Provincial Road 343 and the south side of Yiyang Avenue in Siyang County Economic Development Zone, Suqian City, Jiangsu Province, covering an area of approximately 821.69 acres.
Construction content and scale: The construction scale of this project is to produce 500,000 tons of super-simulated functional fibers per year, producing polyester filament POY (pre-oriented yarn), FDY (fully drawn Silk). The production plants and supporting projects constructed include: polyester unit CP1CP2, spinning unit 1, PTA warehouse 1, heating medium station 1, comprehensive power station 1, etc.
Investment amount: The total investment of this project is 3.958 billion yuan, including 3.747 billion yuan for construction investment and 76 million yuan for basic working capital.
Source of funds: own funds and bank borrowings.
Project progress: The estimated construction period of this project is 2 years, and it is still in the early stage of approval.
Other notes: This foreign investment does not involve entering new fields.
It is understood that the products of this project are mainly targeted at civilian products such as clothing decoration, which can meet the market’s growing objective demand for various differentiated and functional polyester fibers with excellent performance. . Through the implementation of this project, the company’s production capacity of polyester filament can be improved, the product varieties of polyester filament can be enriched, the super-simulation functionality and differentiation rate of the product can be improved, the added value of the product can be enhanced, and the market competition of the company’s polyester filament can be further enhanced. Strengthen the core competitiveness of enterprises and achieve sustainable development of enterprises in the context of fierce industry competition.
The reporter learned from Dongfang Shenghong that new fiber materials are the company’s strategic development direction. This project belongs to the company’s new technology product layout. After independent research and development and pilot testing, it has reached mass production. According to the production conditions, the company will realize the transformation of products from conventional varieties to super-simulation and functional varieties. Industry experts told reporters that Dongfang Shenghong’s planned project has certain advantages in both cost and technology.
It is reported that the super-simulation functional fiber developed by this project can achieve the characteristics of natural fiber in terms of healthy appearance and comfort, while also being functional, safe and environmentally friendly .
Staff from Dongfang Shenghong Securities Department told reporters that new fiber materials are the company’s strategic development direction. This project relies on the company’s leading technological innovation capabilities and focuses on new civilian polyester fiber materials. . After independent research and development and pilot testing, it has the conditions for mass production. The project is a new technology product layout. In the future, it will mainly produce super-simulated, differentiated and functional chemical fibers such as fully matte fibers, cationic fibers, special-shaped cross-section fibers, etc., to realize the transformation of products from conventional varieties to super-simulated and functional varieties.
Ma Qi, a chemical fiber industry analyst at Longzhong Information, told reporters that the super-simulation functional fiber planned to be built by Dongfang Shenghong is a high value-added polyester filament and is differentiated. Functional fibers, such as moisture-wicking and hollow thermal insulation polyester filaments. The products produced have excellent characteristics such as high softness, good flexibility, soft luster, and high density. They are high-quality and high-tech textile raw materials.
Ma Qi further analyzed to reporters that the project has certain advantages in raw material transportation and production technology. On the one hand, there are currently a large number of differentiated fiber factories on the market, but most of them are chip spinning factories. Shenghong plans to build a large-capacity, continuous, and flexible polyester melt direct spinning filament project this time. On the other hand, the project is located in Siyang, Suqian, which is relatively close to Shenghong’s refining and chemical integration project and PTA project in Lianyungang, which can further expand the cost advantage of the project.
According to disclosures, this project is an upstream and downstream industrial chain with the 16 million tons refining and chemical integration project of Shenghong Refining and Chemical (Lianyungang) Co., Ltd., a secondary subsidiary of Dongfang Shenghong. Key supporting projects. According to Dongfang Shenghong’s calculations, the “500,000-ton annual super-simulation functional fiber project” is expected to have annual sales revenue of 3.365 billion yuan and a total profit of 746 million yuan. After the project reaches production, it will have a positive impact on the company’s operating performance. </p
