Core Viewpoint - Wanhua Chemical is actively expanding its business by establishing new companies in various sectors, particularly in silicone materials and electronic chemicals, to strengthen its market position and enhance its product offerings [2][4]. Group 1: New Company Establishments - Wanhua Chemical has recently established three new companies to diversify its operations across five major industries [2]. - The first company, Hubei Xinghua Silicon Materials Co., Ltd., was established on June 19, 2025, with a registered capital of 50 million yuan, focusing on silicon material technology research and industrialization projects [2]. - The second company, Yantai Huaxing Silicon Materials Co., Ltd., was established on July 31, 2025, with a registered capital of 5 million yuan, specializing in high-performance sealing materials and synthetic materials [2]. - The third company, Yantai Wanmei New Materials Co., Ltd., was established on July 25, 2025, with a registered capital of 100 million yuan, focusing on the research and sales of synthetic materials and specialty chemicals [4]. Group 2: Industry Position and Production Capacity - Xingfa Group, a partner of Wanhua Chemical, has a leading position in the electronic chemicals industry, with significant production capacities for electronic-grade phosphoric acid, sulfuric acid, and other chemicals [3]. - As of the end of 2024, Xingfa Group's subsidiaries have established production capacities of 60,000 tons/year for electronic-grade phosphoric acid and 100,000 tons/year for electronic-grade sulfuric acid, among others [3]. - In the silicone materials sector, Xingfa Group has a designed production capacity of 600,000 tons/year for silicone monomers, making it a domestic leader [3]. Group 3: Strategic Collaborations and Market Expansion - Wanhua Chemical has formed strategic partnerships with Xingfa Group to establish several joint ventures in the phosphate chemical industry, enhancing its supply chain for lithium battery materials [4]. - The establishment of Yantai Huaxing Phosphate Chemical Co., Ltd. and other ventures aims to secure key raw materials for lithium iron phosphate production, thereby strengthening Wanhua's position in the battery materials market [4]. - The collaboration with Hefei Xinmei Materials, which acquired LG Chem's polarizer materials business, is expected to accelerate the localization of key optical materials [5].