Consumables
China XD Plastics Receives Five Additional Product Certifications For its Newly Launched Products
Monday 08. June 2009 - The five new product certifications were granted by the FAW Group Corporation
China XD Plastics Company Ltd. (“China XD Plastics” or the “Company”), (BULLETIN BOARD: CXDC) , as the largest Chinese manufacturer engaged in the development, manufacturing, and distribution of modified plastics primarily for use in automotive applications, today announced that during the first quarter of 2009, the Company obtained five product certifications from the FAW Group Corporation, one of the leading automobile manufacturers and vanguard of automobile industry in China with sales of over 1.5 million units of automobiles in 2008.
The product certifications allow the Company to supply five newly launched specialized modified plastic products for automotive applications directly to suppliers of parts and components for the FAW Group. The product certifications received during the first quarter of 2009 are related to modified plastics supplied by the Company for the production of automobile interiors, exterior and functional parts which include shell bodies for air filters, filters, radiators, car engine covers, and among others, assembled in medium and luxury vehicle models in China. Those five product certifications are specific to the FAW Group’s Hongqi and Besturn, both of which are popular mid-level and luxury passenger sedan models in China.
“We are pleased to see tangible results from our consistent investment in research and development of new products,” said Mr. Jie Han, Chairman and Chief Executive Officer of China XD Plastics. “The five newly launched products testify our national leading edge in technology to increase our product offering with higher value added products. All these products replace imported products which mainly come from large international modified plastic producers. We expect to achieve a sales volume of approximately 45,000 tons in 2010 for the five newly launched products with our cost advantages over imported products.”
As of December 31, 2008, the Company has obtained a total of 117 product certifications, all of which have their status renewed and 76 of them are granted by the FAW Group. With the addition of the newly obtained five product certifications, China XD now owns a total number of 122 certifications, maintaining its leading position of modified plastics for automobile applications with the largest number of certifications in China. Currently, the Company is applying for 23 additional product certifications mainly for application of mid-level and luxury passenger brands.