China Council for the Promotion of International Trade (ccpit) 2009 Preface

Papermaking and paper product industry

1. Shandong Chenming Paper Group Co., Ltd.

The predecessor of Shandong Chenming Paper Group Co., Ltd. is Shandong Shouguang Paper Making Plant established in 1958. The group's principal activities are producing, processing and selling machine-made paper, paperboard, paper making raw materials and paper making machinery. It's the largest state-owned paper making enterprise, Key High-tech enterprise of National Torch Program in China as well as one of the 520 Key Enterprises by the State Council. The company boasts 5 world class paper production lines and 15 domestic leading lines to produce 3 large categories including cultural paper, newsprint and packaging paper, and over 200 species in 8 series including writing paper, sided offset paper, light coated paper, newsprint, art paper, boxboard paper, office paper, and specialty paper. With a marketing network all across China with 45 sales branches and offices, it's a collective papermaking enterprise covering papermaking, pulp making, energy and papermaking machine.

Shandong Chenming Paper Group Co., Ltd. developed 33 papermaking patents and new technologies independently. It produced 7 national class new products and 23 products filling up the gaps in China. A 100,000 tons high-grade culture paper project of national Double + established and operated in 1998 was chosen as national outstanding project in technical reform. Its major product light weight coated paper filled up the gap of China and it's exported to international market such as Japan in large quantities and was regarded as the first piece of paper of Chinese paper industry to the world. Two technologies including "poly nano-colloidal silicon particle glidants" and "AKD alkalescence papermaking technology with talc powder as filler" passed provincial technical evaluation in 2002 and played an important role in improving product quality, reduce cost and replace imported products. 45g newsprint and 42g newsprint produced in 2002, the latter of which filled domestic gap, highlighted Chinese paper market. After the establishment and operation of 153,000 ton high-grade art paper project in August that year, the company has produced over 20 species in 4 series of Xuesha, Xueying, Xuehu and Xueyan, which completely replaced imports by its actual production capability reaching 300,000 tons and the international top level. In 2003, the company successfully developed 45g wear-resistant paper and an overall mature pulp making technology of cottonwood to pulp with the help of post doctorate workstation.

2. Hainan Jinhai Pulp & Paper Industry Co., Ltd.

Hainan Jinhai Pulp & Paper Industry Co., Ltd. is one the 13th super-scale pulp and paper making enterprise invested and constructed by Sinar Mas Group-APP in China mainland. The company is located in Yangpu Economic Development Zone, Hainan Province, with an area of 4 square kilometers. The first stage project to produce 1 million tons chemical bleached sulfate eucalyptus pulp was invested 10.5 billion yuan and opened up on March 28^th, 2005. The second stage project to produce 1.6 million tons is invested 1.36 billion yuan and opened up on March 29^th, 2007 and predicted to continue its production in 2010.

The pulp making production line of the first stage project of Jinhai Pulp & Paper has so far ranked the largest single pulp making line with the most advanced technologies. Besides the top-level vanguard technology, the main facilities all adopted well-known professional products in the world which embodies the advanced level of pulp and paper making industry in current world. The second stage project of Jinhai agrees with the national development direction of all-in-one operation of forest, pulp and paper. It shortens the production process flow, increases the company comprehensive benefit and greatly benefits the local region economically and socially. It provides more than 2000 direct posts and drives service industry like transportation and Dining sectors as well as the economic development of Yangpu and the whole Hainan.

Jinhai Pulp & Paper has invested 2.7 billion yuan in pollution control to recycle and reuse waste from production process, purchase advanced three wastes treatment facility and introduce in anti-pollution production technology. Jinhai conducts strict management in daily production and ensure all its emission reaching or exceeding national level one emission standard finally after processing. In April 2006, Jinhai Pulp & Paper passed ISO14001 Environmental Management System Certificate. In June 2006, the first stage project was inspected and accepted in terms of environment protection by State Environmental Protection Administration. Jinhai's effort in environment protection has been highly appreciated by the country and Hainan provincial government.

3. Gold East Paper (Jiangsu) Co., Ltd.

Gold East Paper (Jiangsu) Co., Ltd. is founded by APP with a total investment of RMB 15.146 billion (US$1.823 billion). It is located on a 4,514 mu site in Dagang, Zhenjiang city, Jiangsu province. The company is richly advantaged in convenient transportation and location since its own two 10 thousand-ton berths and nine 20 thousand-ton berths in the next-door Dagang port are connected with 136 ports in more than 40 countries and regions.

Gold East's production capacity is 1.35 million ton culture paper annually. Four paper making production lines and one spread coating production line were built up in 2002. By far it has produced 1 million ton and owns 2 enterprise wharfs of 20 thousand-ton, a autonomous thermal power station rated at 210MW installed gross capacity, a fresh water plant with a capacity of 99,500CMD, a effluent treatment plant with a capacity of 75,000CMD and auxiliary projects of a ground calcium carbonate plant and precipitated calcium carbonate plant. Gold East stands at the top of the world in facilities and technologies.

The production lines of office writing paper and spread coating base paper are supplied VOITH SULZER in Germany. Spread coating paper production line are wholly imported from Valmet in Finland. The paper production process adopts world-class control technologies of Distributed Control System and Quality Control System by ABB.

Gold East Paper (Jiangsu) Co., Ltd. is committed to environment protection. It has implemented environment protection policies in up-and-coming spirit. So far it has invested near 600 million yuan in environment protection projects. For instance, it introduced the most advanced circulating fluidized bed boiler from Finland which can deprive over 85% sulfur dioxide generated from boiler coal fire and thus prevent acid rain from sulfur dioxide discharge. Furthermore, the most advanced wastewater treatment system makes wastewater completely meet the national first class discharge standard. There are fish ponds and the updating instrument to monitor water discharge.

4. Huatai Paper Co., Ltd.

Huatai Paper Co., Ltd. is a subsidiary company of Huatai Group. Its total asset value reaches 15 billion yuan. It can make the machine made paper papers of 4 series and more than 100 types with an annual output capacity of 2 million tons, including newsprint, culture paper, package paper and daily life paper. It has an annual capacity of 1 million ton chemicals and paper-making auxiliary chemicals, 500,000 color ream printing and a daily printing ability of 8 million folios. Huatai paper serial products have won Shandong Products Quality Award. Huatai won the titles of Shandong Famous Brand and Build Chinese Famous Brand. Huatai was the first Chinese Well-known Trademark in domestic paper making industry. Huatai newsprint, offset paper and writing paper are National Free-Inspection Product, which are marketed widely in more than 20 provinces and cities, as well as scores of countries and regions in America, Eastern Europe and Southeast Asia. In 2007, the accumulated income of the group reached 13 billion yuan, contributed profit and tax of 1.5 billion yuan. Since 1995, its comprehensive economic profits have ranked in the front in the same industry in China.

Since 2000, Huatai has invested 7 billion yuan in succession to purchase 4 world-class high-grade color newsprint production lines from Germany. Among these lines, the 160,000 tons newsprint machine invested in 2001 was the largest in China at that time. The newsprint production line with an annual capacity of 250,000 tons invested in 2003 was the most advanced in the world and the first new concept paper machine on the same platform in Asia. It adopted the latest VOITH standard modular design and advanced technology we well as automatic control systems such as DCS, QCS and MCS. Its ability to produce 38-48.8 k/m² newsprint filled up the blank of domestic high-grade light weight newsprint. At the end of 2005, the high-grade color offset news printing project with annual output capacity of 400,000 tons is the largest newsprint project in the world. The total investment on this project reached 2.28 billion yuan. The designed machine speed was 2000 meters/minute. Huatai introduced world top technology equipment from companies like Germany VOITH, Finland Metso, and Austria Andritz. All the indexes rank first in the world. The production line can produce 34-60 k/m²high-grade color newsprint. Meanwhile, it can generate various types of products such as gummed paper, telephone book paper and dictionary paper and so on. So far it's a newsprint production line of the largest stand-alone output capacity, the most advanced equipment, the fastest machine speed, the widest paper web and the best quality. In October 2006, Huatai added 12# machine newsprint production line with a stand-alone output capacity of 450,000 tons. After production, Huatai annual newsprint production capacity reached 1.2 million tons, covering 1/3 of Chinese market. It has become the largest newsprint base in the world.

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