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On the evening of July 22nd, Wanshun New Materials (300057) announced that its wholly-owned subsidiary, Jiangsu Zhongji, plans to use Sichuan Wanshun Zhongji as the main project implementer to invest in the construction of a high precision aluminum strip project with an annual output of 130000 tons in the Economic and Technological Development Zone of Guangyuan City, Sichuan Province, with an estimated total investment of 1.192 billion yuan.

The project construction period is 22 months, planned to start in August 2021, start construction at the end of September 2021, and be completed in May 2023.

Source: Wanshun New Material Announcement

Wanshun New Materials stated that through the construction of this project, the company will increase the production of 80000 tons of aluminum foil blanks for lithium battery positive electrodes and 50000 tons of double zero aluminum foil blanks and coils, which is conducive to improving the raw material supply guarantee ability and quality stability of high-precision aluminum foil products such as battery aluminum foil and double zero aluminum foil, further reducing aluminum foil production costs, improving profitability, and expanding the company's production advantage, Thus enhancing the comprehensive competitiveness of Zhongji brand in the aluminum processing industry, while better meeting the demand for high-precision aluminum sheet and strip in the aluminum foil market development.

According to data, Wanshun New Materials was established in 1998, with three major industries: environmentally friendly packaging materials, high-precision aluminum foil, and functional films.

Among them, the controlling subsidiary Jiangsu Zhongji Composite Materials Co., Ltd. (hereinafter referred to as Jiangsu Zhongji) is responsible for high-precision aluminum foil business, with an aluminum foil production capacity of 70000 tons.

In April 2012, Wanshun Group completed the acquisition of 75% equity of Jiangsu Zhongji, and Jiangsu Zhongji became the controlling subsidiary of Wanshun Group.

In 2014, Jiangsu Zhongji acquired 60% equity of Jiangsu Huafeng Aluminum Industry Co., Ltd. (hereinafter referred to as Jiangsu Huafeng), expanding its upstream aluminum strip business, improving the aluminum foil industry chain, and ensuring product quality and stable supply.

In addition, Jiangsu Zhongji has also acquired Anhui Meixin Aluminum Industry Co., Ltd. (to be renamed Anhui Zhongji Battery Foil Technology Co., Ltd., hereinafter referred to as Anhui Zhongji).

At present, Jiangsu Zhongji's existing aluminum foil production line has an annual output of 83000 tons, while Anhui Zhongji is constructing a high-precision electronic aluminum foil production project with an annual output of 72000 tons. After completion, the total aluminum foil output will be 155000 tons.

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