Yantai, Shandong – Tayho Advanced Materials plans to acquire land near its existing site in Yantai to build new polyurethane elastane facilities.
The company hopes to cap the land plot’s total consideration at CNY200m ($29m), according to an announcement dated 16 January.
Another announcement by Tayho, released in March 2018, stated that the company plans to invest CNY 1bn by 2022 to add 30kT/year PU elastane facilities in Yantai. When on stream, the company expects this will generate CNY200m annual profit on CNY1.1bn sales.
Tayho will invest a further CNY 2bn in 60kT/year PU elastane projects in other cities with lower costs, the announcement said. These projects are expected to bring in CNY 260m annual profit on CNY 2bn sales.
Outdated facilities will be phased out. This constitutes two-thirds of the company’s current PU elastane capacity.
Tayho claims to be the world’s sixth largest PU elastane maker, with 45kT/year capacity. China has more than 30 PU elastane makers with 710kT/year overall capacity, accounting for 70% of the world’s total, the announcement stated.
It also makes aramid, and claims to have China’s largest research and manufacturing site for high-performance fibres.
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