Annual Production Of 9 Billion 800 Million Gloves, 300 Million Masks And Millions Of Protective Clothing Items Finalized Huaibei

Ying Ke medical Polytron Technologies Inc (hereinafter referred to as "Ying Ke medical") announced in the evening of March 3rd, to ease the demand for fast-growing disposable gloves Market, improve and enrich the company's medical protection products and promote business growth, the company's wholly owned subsidiary, Anhui Ying Ke medical supplies Co., Ltd. (hereinafter referred to as "Anhui Ying Ke") intends to invest RMB 800 million yuan. We will invest 9 billion 980 million yuan (9 million 980 thousand cases) of high-end medical gloves and invest RMB 24 million yuan to implement the annual production of 300 million masks and 1 million protective clothing items.

The first textile network reporter learned that the annual production of 9 billion 880 million (9 million 880 thousand boxes) high-end medical gloves project is located in Suixi, Huaibei, Anhui province suiwu Industrial Park, Haitang Road West and Wuhu two road intersection, scheduled to start in 2020, the completion time of 2022, the project covers 192 acres, with a total construction area of 57600 square meters, the new closed loop nitrile gloves double mold. 28 production lines, construction of nitrile gloves production workshop 45000 square meters, boiler room, distribution room, reclaimed water workshop, the acquisition of advanced equipment at home and abroad, supporting the construction of environmental protection facilities, public works and so on. The main raw material is NBR latex, and its products are disposable nitrile gloves. The technology includes mould cleaning, impregnation, glove shaping, gloves cleaning, surface treatment, automatic demoulding and automatic packaging.

The annual production of 300 million masks and 1 million protective clothing items is located in Haitang Road West and Yinhua Road north of Suixi suiwu Industrial Park, Suixi, Huaibei, Anhui. The planned commencement date is scheduled for completion in 2021. In 2021, the project covers an area of 8 mu, 5000 square meters of floor area, and construction of respirators and protective clothing cleaning workshop. Supporting the construction of public works and so on.

Ying Ke medical said that the implementation of the Anhui branch of the company's wholly owned subsidiary, Ying Ke, an annual expansion of 9 billion 880 million (9 million 880 thousand cases) high-end medical gloves projects and an annual output of 300 million masks and 1 million protective clothing items will further optimize the company's capacity layout and consolidate the leading position of the company in the industry, which will further enhance the company's performance and enhance its core competitiveness, in line with the company's strategic development. Direction.

According to the insiders, the production of medical masks is not restricted by the production capacity of high melting point polypropylene (PP). According to the manufacture of 5 billion medical masks, it only needs about 20 thousand tons, accounting for only 2.3% of the output of the high melting point PP fiber. However, the amount of medical protective clothing is relatively large, and its production capacity is limited by the amount of special fabric production. At present, there are two kinds of disposable protective clothing with virus barrier function. It is a high melting PP non-woven fabric with SMS structure. The two is DuPont Co's Tyvek fabric (made of high density polyethylene HDPE by special technology). It needs to import, and the monthly 30 million sets of medical protective clothing need about 47 thousand tons of related material annual capacity. The current domestic capacity may not be enough to support the demand under the epidemic situation.

However, Liu Zhenyu, an analyst at Minsheng securities, believes that the supply capacity of China's masks is about 20 million per day, accounting for more than half of the world's capacity. The China Textile Business Association estimated that the total capacity of domestic masks will expand to 180 million per day at the end of February, and has expanded 9 times. In terms of imports, according to the General Administration of customs, the average import volume of 40 million 550 thousand days / days from January 24th to February 11th will decrease with the development of overseas epidemic situation.

From the demand side, the domestic demand side assumes that the recovery rate is 70%, without considering the needs of the primary industry, 1 per person per day, and the demand for mask is 390 million days. With the development of overseas epidemic, the demand for foreign masks will increase rapidly. Liu Zhenyu predicts that after basically meeting domestic demand, China's mask will be exported to overseas to support the global war "epidemic". Under the background of the domestic supply and demand gap of over 100 million, and the outbreak of overseas demand, it is expected that the productivity of masks will continue to climb.

According to public information, Ying Ke medical service was established in Zibo, Shandong Province in 2009. Its main business covers four major sectors: medical protection, rehabilitation nursing, health care physiotherapy and inspection consumables. The company is a leading supplier of comprehensive medical care products for China, and a leading domestic glove business. Company strategic positioning high-end disposable PVC gloves, nitrile gloves and other medical consumables production and marketing, R & D capabilities, production capacity leading industries, the company relies on the domestic industry chain, raw materials, human resources and other advantages, after nearly 20 years of accumulation, with the United States, Japan, Germany and other more than 120 countries and regions to establish long-term stable cooperative relations, since 2018 disposable gloves income leap First in China.

Ying Ke medical products mainly focus on the medical protection category, and mainly export to the developed countries, including the United States as the main market. The proportion of income from medical protective products has always been over 80%, and by the end of 2018, foreign income accounted for 96.36%. Based on the consumption habits and the degree of economic development, the United States has exported major countries to the company. In recent years, the geographical distribution of company customers has been diversified. According to the financial report, in the first three quarters of 2019, Ying Ke medical exports to the US accounted for about 50%. The new production capacity mainly radiated the rapid growth of demand for non US countries, and the geographical distribution of customers was diversified.

It is understood that the four largest production base of Ying Ke is located in Zibo, Qingzhou, Suixi and Zhenjiang, and has regional advantages. The glove base is located in Zibo, Qingzhou and Suixi. The climate is dry and the temperature is moderate. The geographical conditions are suitable for producing PVC and nitrile gloves. The company is closer to Qingdao port, the factory is 260 kilometers away from Qingdao port, and at the same time, it is only two hours away from Qingdao airport. Adjacent to Qilu Petrochemical Industries Co, the matching cost of raw materials and energy is convenient and the price has advantages. At the same time, Zibo ceramic industry is mature, and the resources of glove ceramic abrasives are abundant, providing abundant mould resources for the company. Zhenjiang is a rehabilitation physiotherapy production base for the company. It mainly produces wheelchair products and cold and hot compress products. The local wheelchair and the hot and cold compress industry have already formed cluster effect. The raw materials are supplied with sufficient raw materials and convenient transportation.

In view of the observation, the revenue of Ying Ke's medical treatment mainly comes from the medical protection products. The proportion of 2014-2018 years is maintained at more than 80%, and the sales and income of NBR gloves have increased steadily. According to the 2019 China Daily report, the medical protection category accounted for 84.74% of the revenue. The products mainly included disposable PVC gloves and nitrile gloves. Before 2012, the company only produced PVC gloves. In 2012, Shandong Ying Ke was set up in Qingzhou, Shandong, and began to build nitrile gloves production line. At present, there were 90 production lines of PVC gloves (converted to single line), 17 nitrile and double gloves production lines, and Anhui total 28 billion. The two and three phases of glove production and construction are still in continuous operation, and the company plans to build 8 billion 820 million high-end medical gloves production lines in Vietnam. The total production capacity of Future Ltd medical gloves will exceed 50 billion, and is expected to become the first and the world's leading medical glove supplier.

According to the financial report, in the past 2014-2017 years, the revenue and profit of Ying Ke's medical business increased rapidly, and it began to slow down in 2018, an increase of 8.12% compared with the same period last year, and net profit increased by 23.6% over the same period last year. In the 2014-2018 year, the revenue and net profit of Ying Ke medical complex were 21% and 54% respectively. In the three quarter of 2019, Ying Ke achieved 1 billion 530 million yuan in business revenue, an increase of 10.9% over the same period, and a net profit of 126 million yuan, down 2% from the same period last year. Ying Ke medical expects that the net profit attributable to parent company in 2019 is 1.7-1.88 billion, which is basically the same as last year, an increase of -5%~5% over the same period last year. Constrained by capacity constraints, business revenue growth in 2018 is relatively slow.