Core Viewpoint - Huayang New Materials is expected to achieve a net profit attributable to shareholders of 70 million to 90 million yuan in the first half of 2025, indicating a potential turnaround from previous losses [1] Financial Performance - In the first half of 2023 and 2024, Huayang New Materials reported net losses of 91.66 million yuan and 49.43 million yuan respectively [1] - The total net losses for the years 2023 and 2024 were 200 million yuan and 186 million yuan respectively [1] - Despite the expected improvement in net profit, the company's non-recurring net profit is still projected to be negative, estimated between -56 million yuan and -40 million yuan [1] Business Operations - The improvement in performance is attributed to the recovery of precious metals business and the transfer of land use rights to Taiyuan Chemical Industry Group, resulting in a net gain of 119 million yuan from asset disposal and a land transfer subsidy of 5 million yuan from the Taiyuan Municipal Finance Bureau [1] - Huayang New Materials has undergone significant personnel changes in early 2024, including the resignation of the former chairman and the appointment of a new chairman [6] - The company has focused on enhancing management in the precious metals recovery industry and is adopting a flexible production model in the biodegradable materials sector to improve product functionality and market share [7] Strategic Direction - Huayang New Materials has gradually divested its chemical assets, leaving it with precious metals recovery and power distribution businesses as of 2021 [4] - The company is targeting the new materials sector, particularly biodegradable plastics, although the transition requires substantial upfront investment in research and development [4]

Core Viewpoint - The article highlights the environmental and health risks associated with biodegradable plastics, particularly polylactic acid (PLA), which, despite being marketed as eco-friendly, can lead to significant health issues and metabolic disturbances in humans and animals [2][3][12]. Group 1: Environmental Impact of Biodegradable Plastics - The widespread use of plastics has led to the pervasive presence of microplastics (MP) and nanoplastics (NP) in the environment, with humans ingesting approximately 0.1 to 5 grams of microplastics weekly [2]. - PLA is the most produced and consumed biodegradable plastic globally, commonly used in food packaging and disposable utensils, but it has been found to generate more microplastics than traditional petroleum-based plastics [2][12]. Group 2: Health Risks Associated with PLA Microplastics - Recent research indicates that PLA microplastics can enter the carbon cycle within the body, disrupting metabolism and damaging the gut [3][4]. - The gut microbiome plays a crucial role in degrading PLA microplastics, with specific bacteria like Helicobacter muridarum and Barnesiella viscericola being responsible for this process, which can lead to the production of harmful byproducts such as uric acid and D-lactic acid [6][7]. - Long-term exposure to PLA microplastics has been shown to reduce appetite and cause weight loss in mice, with lasting metabolic disruptions even after cessation of exposure [7][12]. Group 3: Misconceptions About Biodegradable Plastics - The article emphasizes that "biodegradable" does not equate to "safe," as PLA requires high temperatures and humidity for effective degradation, conditions not met in the human body [10][12]. - The potential for gut bacteria to adapt to consuming plastics as a food source poses a risk to the balance of dietary fiber metabolism [10][12]. Group 4: Recommendations and Future Directions - The article calls for increased awareness of the "pseudo-environmental" trap of biodegradable plastics and suggests reducing the use of single-use plastic products, especially those in contact with high-temperature foods [12]. - It advocates for policy upgrades to reassess the safety standards of biodegradable plastics and promote the development of truly harmless materials [12][13].