Yesterday, China XD Plastics Company, Ltd., a Chinese manufacturer of plastics for automotive uses, announced the opening of newly installed production lines and the designation of its Macromolecule Research Institute as a Heilongjiang Enterprise Academy Member Workstation. The opening of the new lines comes in conjunction with the one-year anniversary of China XD Plastic’s listing on the Nasdaq.
China XD, the only non State owned Enterprise designated an Academy Member Workstation in Heilongjiang province, was praised by the government for their efforts in technology and innovation in the plastics field.
China XD’s automotive plastics are used in the production of over 60 automobile brands, including Audi, Red Flag, Volkswagen and Mazda, all of which are produced in China. The new production lines will manufacture parts intended for alternative-energy vehicles. On hand at the celebration were provincial and municipal officials, members of the press, investors and industry experts, as well as representatives of China XD’s customers.
Progress on the new production lines is ahead of their originally scheduled launch date and will be fully operational in January 2011. The theoretical capacity will be 165,000 metric tons, including existing 120,000 metric tons and newly installed 45,000 metric tons. The realistic capacity, based on production lines’ standard utilization rate of 80%, will be 135,000 metric tons, including existing 100,000 metric tons and newly installed 35,000 metric tons.
“We are very pleased to announce the success of our investor day,” said Mr. Jie Han, Chairman and CEO of China XD Plastics. “The newly installed production lines designated for alternative energy vehicles applications and the opening of the Academy Member Workstation demonstrate the effective execution of our growth strategy. Going forward, the Company will maintain its commitment to R&D by leveraging the Post-Doctoral Research Station and Enterprise Academy Workstation, diversifying its product portfolio with more high-value products, securing our leading position in the automotive modified plastics industry, and maximizing shareholder value.”