Kingfa’s 30,000-ton polylactic acid project is postponed for the second time and is expected to be put into operation in the fourth quarter
Latest News: Kingfa Technology continued to urgently suspend the “annual production of 40 billion high-performance medical and health protection gloves project”. Affected by factors such as changes in market demand, the company’s annual production of 30,000 tons of polylactic acid will be delayed until the fourth quarter of 2022. The project was originally planned to be put into operation in the fourth quarter of 2021, but was later postponed to the second quarter of 2022, and is now postponed again.
The total investment of the 30,000-ton polylactic acid project is about 300 million yuan. The construction site is located in Nanshui Town, Jinwan District, Zhuhai City. The company directly purchases 32,000 tons/year of lactide as the main raw material, and carries out the lactide ring-opening polymerization process through additives, and finally obtains sliced polylactic acid with a production capacity of 30,000 tons/year. Among them, 18,000 tons/year of sliced polylactic acid is used as raw material, which is continuously blended with talc and additives in the modification workshop to obtain 30,000 tons/year of modified polylactic acid material. Therefore, the final export products are 12,000 tons/year polylactic acid and 30,000 tons/year modified polylactic acid.
In the first half of 2022, Kingfa’s sales volume of fully biodegradable plastic products reached 49,400 tons, a year-on-year increase
12.09%. However, due to factors such as geopolitics, fluctuations in the price of upstream chemical monomer raw materials, and the spread of domestic epidemics, the overall demand for degradable plastics in the industry has slowed down significantly compared with the same period last year. In addition, the new production capacity in the industry is gradually put into production, and disorderly competition has led to a decline in the profits of degradable plastic products.
The company has reduced costs and increased efficiency, and has implemented technical transformations on the synthesis device, which has reduced manufacturing costs and improved production efficiency. Improve differentiated competitiveness, continue to optimize product performance, upgrade and iterate new products, improve the shelf life of film bags, straw food contact safety and other technologies, maintaining the industry’s leading edge. Construct forward-looking research and promote the extension of the industrial chain. The company established Liaoning Kingfa Biomaterials Co., Ltd., actively deployed bio-based monomers and bio-based materials technology research, and steadily promoted the construction of bio-based BDO projects with an annual output of 10,000 tons/year.