Zhejiang Comm.Tech.(SZ:002061)2022-12-06 05:28Group 1: Company Overview and Operations - Jiangshan Chemical has focused on stabilizing production at Zhejiang Iron and Wind, optimizing operations to reduce costs and create competitive advantages [2][3] - The company achieved a production capacity of 100,000 tons of polycarbonate since the project commenced, with ongoing technical improvements and management enhancements [4] Group 2: Production and Market Strategy - The company aims to improve production control and increase the ratio of branded PC products and injection-grade products to ensure stable high-load operations [3] - The PC product pricing is determined based on market supply and demand, with a sales model that balances direct sales and distribution, each accounting for approximately 50% [5] Group 3: Project Developments - The polycarbonate diversification project was initiated in Q3 2016 with self-funding, yielding positive results as the second-generation PC products have fully entered the market [3] - Future possibilities for a second phase of the polycarbonate project are being considered, given the availability of land for new installations [4] Group 4: Synergy and Collaboration - Zhejiang Iron and Wind benefits from geographical proximity to Zhejiang Iron and Ning, optimizing the use of shared facilities and achieving complementary supply and demand for steam and condensate [4] - The integration of Zhejiang Iron and Wind into the listed company has led to increased sales volume of steam by-products, enhancing profit levels [4] Group 5: Product Characteristics and Applications - Polycarbonate is recognized for its excellent impact resistance, dimensional stability, and high-temperature resistance, making it suitable for various applications including construction materials, electronics, and automotive components [4] - The trend towards plasticization in the automotive industry significantly boosts the application of polycarbonate in automotive parts [5] Group 6: Financial Performance - The subsidiary Zhejiang Iron and Ning has achieved continuous normal production of an 80,000 tons/year phthalic anhydride project, with products entering high-end markets and gaining recognition from downstream users [5] - The company has maintained favorable levels for raw material and product prices, leading to a preliminary turnaround in profitability for Zhejiang Iron and Ning [5]