XIAMEN, China—Hoping to expand its market share, Chinese processor Xiamen Sanideng Plastic Industry Co. Ltd. is spending more than $48.2 million on a new injection molding and extrusion factory.
The company, which according to its website has several existing factories in Xiamen, Fujian province, said the 365,000 sq.-ft. facility will be completed by the end of this year, and it will give the company about 100 injection molding machines and five to eight extrusion lines.
Sanideng is making the investment to meet customer demand in China and in export markets, and hopes the facility can help it grow in overseas markets, where it remains a relatively new player. Its products are exported to Europe, North American and Southeast Asia, company spokesman James Zhang said in an email.
The new factory, in Xiamen's Tong'An Industrial Zone, will focus on industrial pipe and related products in PVC, PVDF, PPH and other materials, he said.
Sanideng, formed in 1976 in Taiwan, has been selling in the Chinese mainland since the early 1990s. In 2004, it established pipe production in Xiamen, and in 2007 it established a mold making factory there, according to Zhang.
Zhang said the company is targeting both original equipment manufacturing for markets such as the U.S., where it has met with some "obstructions," and in developing its own Sanking brand, he said.
The company said it has extrusion lines from Krauss Maffei, along with injection presses ranging from 650 tons to 1,800 tons clamping force. According to the company, it was one of the first in mainland China to adopt precision machinery in making valves and pipe.