Sinopec, Dupont Invest $70 Million to Create EVA Firm in Beijing

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Researched by Industrial Info Resources (Sugar Land, Texas)--China Petroleum and Chemical Corporation, or Sinopec, (Beijing) and Dupont Packing and Industrial Polymers jointly established Beijing Huamei Polymer Company Limited, a petrochemical firm, in late September in Beijing to manufacture ethylene vinyl acetate resin (EVA).

Sinopec will hold 55% of the new $70 million company’s shares, and Dupont Packaging will hold 45%. The company will be located at Sinopec’s Yanshan Branch in southwestern Beijing. Production of the 60,000-ton-per-year project is set to start by the end of 2008.

EVA is an important primary chemical material. It is widely used to make packaging, bonding, printing materials and power cables. It is also used to make shoes and clothing.

Huamei is Dupont’s first EVA factory in China. According to a Dupont spokesperson, the project signifies Dupont’s increasing momentum in Chinese investments. The project will help Dupont maintain its worldwide leading position in EVA production and assist its clients to explore the material’s high-end application and related products.

The new company will play an important role in meeting the rapidly increasing demand for EVA in China. Sinopec has said that its outstanding manufacturing capability and Dupont’s cutting-edge EVA technology will bring new market opportunities in China for both enterprises.

Dupont started doing business in China in the 1980s. After 20 years, it now has 36 solely owned and joint-venture companies in China and employs more than 5,500. Dupont has invested more than $700 million in China so far and aims to bring its total China investment up to $1.2 billion by the end of 2010.

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