Home / Knowledge / News / Textiles / JV to set up medical papers & masking tape production facility
JV to set up medical papers & masking tape production facility
28
Oct '10
Ahlstrom Corporation, a leading developer and producer of nonwovens and specialty papers, has signed a joint venture agreement with Longkou Yulong Paper Co. Ltd, a paper producer based in Longkou, in the province of Shandong in northeastern China. The parties have agreed to establish a new manufacturing facility in the Zhuyouguan Industrial Park in Longkou for the production of medical papers used e.g. in sterilization wraps, and masking tape substrates for the building industry in the Asian market.

The parties have agreed that Ahlstrom will have a 60% share in the joint venture and Longkou Yulong Paper will have a 40% share. The total estimated investment amounts to EUR 21.9 million, of which Ahlstrom will invest EUR 13.1 million. The start-up of the new plant is planned for the summer of 2012.

Ahlstrom President & CEO Jan Lång regards the joint venture as an important step in the implementation of Ahlstrom's growth strategy in Asia, and of mutual benefit for both companies.

"We are very pleased to have Yulong Paper as our joint venture partner in China, as the company is very well established in the local paper market and has strong expertise in the paper industry. Through this joint venture, we will be able to serve our local customers in China and Asia in the growing healthcare and building markets", Jan Lång states.

The new site will be part of Ahlstrom's Food & Medical Business Area, which accounted for approximately 20% of the Group's net sales in the third quarter of 2010. The agreement is still subject to the necessary approvals by the authorities and the fulfillment of general closing conditions.

Ahlstrom currently generates about 10 percent of its annual net sales in Asia, and has stated that its strategic target is to grow its Asian footprint markedly from the current level. As part of implementing this growth strategy, Ahlstrom acquired the automotive filter manufacturer Shandong Puri Filter & Paper Products Ltd, based in Binzhou, Shandong, in September.

In addition to the new plant to be established, Ahlstrom has four other manufacturing plants and twelve sales offices in Asia.

Ahlstrom Corporation

Must ReadView All

Textiles | On 22nd Feb 2017

India to produce 341 lakh bales cotton in 2016-17: CAI

The Cotton Association of India (CAI) has maintained in its January...

Textiles | On 22nd Feb 2017

'India to be self-sufficient in silk production by 2020'

Indian could be self-sufficient in silk production by the year 2020...

Courtesy: London Fashion Week

Fashion | On 22nd Feb 2017

India bags best country award at London Fashion Week

The International Fashion Showcase (IFS) Country Award was given to...

Interviews View All

Milind Khandwe
Hindoostan Innovation Centre

‘Modern technical textile is an indispensable tool for science and...

Siddharth Biyani
Mangalam Industries Pvt Ltd

‘The manufacturing sector is improving day-by-day, becoming better in...

Karan Suratwala
Key Textile Accessories Private Limited

Chinese imports are destroying the supply chain

Kevin Nelson
TissueGen

Kevin Nelson, Chief Scientific Officer, TissueGen discusses the growing...

Eric Scholler
Groz-Beckert

The Indian market has huge potential in technical textiles, and by far,...

Mohammad Hassan
Biax Fiberfilm

About one in every 20 patients picks up an infection while hospitalised....

Tony Ward
Tony Ward

"You have to truly understand what your client wants, know her needs, what ...

Prathyusha Garimella
Prathyusha Garimella

Hyderabad-based designer Prathyusha Garimella is known for blending...

Pranav Mishra
Huemn

Designers Pranav Mishra and Shyma Shetty’s Huemn is known for its...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH
February 2017

February 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


eNEWS
Insights
Subscribe today and get the latest News update in your mail box.
Advanced Search