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Ventures into Indonesia to Establish a Production Base

2025-02-17
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On February 11, 2025, Huilong New Materials Co., Ltd. (Stock Code: 301057) issued an announcement stating that the company plans to invest no more than 500 million yuan in Indonesia to build a brand-new production base. This move marks an important step.

Strategic layout: moving towards the global market

In recent years, the changes in global market demand have become increasingly intense. While steadily developing its domestic business, Huilong New Materials has already started to lay out its international market strategy to adapt to the diversified development of the global industrial chain. Indonesia, as an important economy in Southeast Asia, has become the top choice for Huilong New Materials to set up overseas production bases, thanks to its rich resources, relatively low production costs, and the growing consumer market.

The investment project in Indonesia can not only help Huilong New Materials Co., Ltd. effectively reach and meet the needs of the local and surrounding markets, but also further enhance the company's supply capacity and strategic influence in the global market.

 

First overseas battleground: Investing in Kendall Industrial Park

Huilong New Materials will invest in the construction of a production base in the Kendal Industrial Park (Kendal Industrial Park, abbreviated as "KIP") in Indonesia. The project is planned to have a production capacity of 30,000 tons of recycled colored fibers and 70,000 tons of dope-dyed fibers per year. It is expected that after the project reaches production capacity, the annual sales revenue can reach 1.2 billion yuan, and the net profit will be approximately 180 million yuan.

 

The Kendal Industrial Park enjoys a superior geographical location and has complete infrastructure, which has attracted many international enterprises to settle in. When choosing this industrial park as the investment base, Huilong New Materials values its mature industrial supporting facilities and stable logistics support. At the same time, it can also leverage the increasingly improved manufacturing and export capabilities of this region to enhance production efficiency and further reduce production costs.

 

Enhance global competitiveness and meet overseas market demands

This investment plan reflects the strategic determination of Huilong New Materials to continuously enhance its international competitiveness. With the continuous increase in the global market's demand for environmental protection, sustainable development, and high-performance fibers, Huilong New Materials hopes to take this opportunity to meet the growing market demand worldwide and introduce its products to a broader international market.


The board of directors has approved the "Proposal on the Overseas Investment for the Construction of a Production Base in Indonesia", and an extraordinary general meeting of shareholders will be held on February 27, 2025, to further deliberate on the specific investment matters. Huilong New Materials believes that with the construction of the new production base, the enterprise will occupy a more favorable position in the global fiber industry.

Looking to the future: Steadily advancing internationalization strategy

Through this investment, Huilong New Materials will further improve its international strategic layout and enhance its competitiveness in the global market. In the future, Huilong New Materials will continue to promote its international development, drive the enterprise's growth with innovation, enhance the stability of the global supply chain, and provide customers around the world with higher-quality products and services.

This investment is not only an important step for Huilong New Materials to deepen its global layout, but also lays a solid foundation for the company's future sustainable development.

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