Yuandong Chemical turnarounds sick PTA plant
Source: Fibre2fashion News Desk - China Date: 2010-09-25
Hualian Sanxin, was ranked number – 1 among Asian PTA production companies, till it went down under, overnight in 2008. Within 20 days, Yuandong Chemical Fiber Group took over the plant and injected 900 million Yuan to restructure Hualian Sanxin.
Hualian Sanxin collapsed in the financial crisis on September 30, 2008, due to a sudden funding problem. Yuandong Petrochemical has turned around the company and realized sales of 10.3 billion Yuan and net profits of 400 million Yuan, last year
It is learnt that more than 90 percent of production staff of Hualian Sanxin stayed on under the new management. Currently the three production lines are operating at 110 percent of designed load capacity and product inventory is practically zero.
The company has also launched an expansion drive which will expand the current PTA production capacity. In the first seven months of this year, the company achieved sales value of 8.4 billion Yuan and net profit of over 700 million Yuan.
