On December 18, Jinghong Rubber Plant, Xishuangbanna Sinochem Rubber Co., Ltd. (“Xishuangbanna Sinochem” hereinafter), China’s biggest natural rubber processing plant invested with by Sinochem International Corp. (600500) was laid foundation in Menghan Town, Jinghong City, Dai Ethnic Autonomous Prefecture, Yunnan Province. Li Xuetao, Chairman, Xishuangbanna Sinochem, Xu Zhihe, General Manager, Xishuangbanna Sinochem, Liu Gonghua, Member of the Standing Committee and Secretary-general of Dai Autonomous Prefecture, the chief designer, the supervisor and the Head of the construction were present in the ceremony.

Designed with a processing capacity of 40,000 tonnes/ annum, Jinghong Plant mainly produces high value-added premium rubber dedicated to all-steel radial tyres. The main products are processed with a combined Malaysian rubber process and independently developed technology. Upon completion, Jinghong Plant will become China’s biggest rubber plant with the leading technology. Meanwhile, the project follows closely the environment regulations, and takes both environmental protection and sustainable development into account. The plant will invest RMB 14 million in the waste water and exhaust gas treatment and fire fighting system. Upon completion, the waste water treatment capability will meet the nation’s most stringent requirement with 85% of the water being recycled. The Jinghong Plant is set up to play an important role in the improvement of Yunnan’s natural rubber business.

In the recent years, Sinochem International acquired three natural rubber processing companies, namely Anlian, Yunnan Xiangdong, Hainan Chengxin and formed up Hainan Sinochem Rubber Co., Ltd. and Xishuangbanna Sinochem Rubber Co., Ltd. The establishment of Jinghong Plant will substantially support Sinochem International’s natural rubber industrial strategy, further consolidate Sinochem International’s leading role in the domestic natural rubber sector and lay a foundation for the company’s expansion into the Southeast Asian market.