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How did the only private enterprise listed on the main board in China in this field make "white rice" at the forefront of the industry?

author:Qiantang New District Daily

Domestic large aircraft, "Hualong No. 1" nuclear power plant, manned spacecraft...... When it comes to these "important weapons of the country", most people are familiar with them. However, few people know that the successful construction and operation of these large heavy weapons are inseparable from the strong support of the new material industry.

When it comes to new materials, a considerable number of people may feel strange and distant, but in fact, new materials have long been imperceptibly woven into the warp and weft of our daily life. For example, you must be unfamiliar with polyamide fiber, but if you mention its other name, nylon or nylon, you may suddenly realize: "It is it!"

Hangzhou Jujushun New Materials Co., Ltd. (hereinafter referred to as "Jujushun"), located in Hangzhou Linjiang Hi-Tech Park, is a new material enterprise mainly engaged in R&D, production and sales of nylon products, and its end products involve many well-known brands in China, such as BMW, Mercedes-Benz, Decathlon, Anta, etc.

How did the only private enterprise listed on the main board in China in this field make "white rice" at the forefront of the industry?

On June 18, 2020, Jujushun, which has been established for seven years, rang the bell on the main board of the Shanghai Stock Exchange, becoming the tenth listed company in Qiantang (New) District, and the only listed company on the main board in the field of polyamide chips among domestic private enterprises.

In the mouth of Yao Shuangyan, executive vice president of Jushun, we can get a glimpse of the "new" road of this private enterprise in the field of nylon materials.

Rise: It only takes 18 months from planning and preparation to official production

Nylon 6 slices are derivatives of oil or coal, but just looking at the appearance of nylon 6 slices, like a small grain of "white rice", it is difficult to associate it with aerospace, military industry, packaging materials and even sportswear.

How did the only private enterprise listed on the main board in China in this field make "white rice" at the forefront of the industry?

"Nylon 6 chips are intermediates in industry that link chemical raw materials to downstream applications. We inject different additives into nylon 6 chips according to the needs of customers, so that they can meet the production and manufacturing requirements of downstream enterprises and deliver them to enterprises, which is equivalent to the materials we produce. Yao Shuangyan said that these "white rice" will eventually appear on planes, cars, and even us in various forms after being reprocessed by intermediate enterprises.

Nylon 6 chips are currently widely used in electronic appliances, electronic machinery, food packaging, civil fibers, aerospace, nuclear power, military and police manufacturing fields.

More than 10 years ago, the domestic market demand for nylon, especially nylon 6 high-end products, was large, but the industry was still in the low-end field for homogeneous competition, and most of the high-end products relied on imports.

In 2013, Fu Changbao, who has been deeply involved in the nylon material industry for 20 years, seized this development opportunity and set up an entrepreneurial team to establish Jushun, which has been positioned in the high-end nylon 6 slice market since its inception, formulated an import substitution development strategy, and quickly seized the high-end market with the help of advanced equipment and technology.

"In May 2015, the first production line of Jushun was officially put into operation. From project planning, production preparation to official production, we only took 18 months, which is extremely rare in the industry, and many peers even take three to five years to achieve production. Yao Shuangyan proudly said that after the advent of the polymeric nylon 6 slice product, it was quickly recognized by many domestic manufacturing enterprises, gave up imports and established a long-term cooperation with the polymeric shun.

From the initial 3 production lines with an annual production capacity of 80,000 tons, to 9 production lines built in 2019, the annual production capacity was increased to 200,000 tons, and now Jushun and its subsidiaries have a total of 17 production lines, with a production capacity of more than 500,000 tons, and the market share of its products in the country exceeds 10%.

How did the only private enterprise listed on the main board in China in this field make "white rice" at the forefront of the industry?

As a capital-intensive industry, the input cost of the new material industry is relatively high, and Juju Shun is no exception, only one production line will invest 60 or 70 million, so Juju Shun will choose to go public in 2020 and achieve a larger-scale breakthrough with the help of the capital market.

"After the listing, it was necessary to expand the plant to increase production capacity, and the Qiantang District Government gave great support at that time to help find land to achieve production capacity upgrades. Yao Shuangyan said frankly that Qiantang's manufacturing industry chain is very suitable for the development of Jushun, and the high-quality business environment has also strengthened their confidence to take root in Qiantang.

Starting from the Qiantang headquarters, Jujushun has successfully extended its business tentacles to the whole country, and has successively set up production-oriented subsidiaries in Tengzhou, Zibo, Shandong, and Changde, Hunan, forming a national industrial layout with multi-point flowering and production capacity linkage.

Grab to win: continue to approach the new and fill the domestic gap

At the beginning of April, Jujushun issued an announcement, saying that the company had recently obtained another invention patent, which once again made the outside world pay attention to Jushun's independent research and development and innovation capabilities. In fact, since its establishment, it has only been more than ten years, and Jushun has 61 patents, including 11 invention patents.

How did the only private enterprise listed on the main board in China in this field make "white rice" at the forefront of the industry?

Walking into the production workshop of Jujushun, there are almost no people in it, and only the machine is running efficiently on the production line.

"The production of polyamide chips is a fully enclosed production process, and the entire production process is operated through a control system, and a single employee in the control center can control nearly 1,000 production valves. In recent years, the company has carried out in-depth cooperation with domestic head equipment companies to customize cutting-edge production equipment to ensure that the overall technical level and product quality of the project reach or even surpass most enterprises in the same industry.

Relying on deep cultivation in a subdivided field, Jushun has developed more than 30 specifications and models to meet the needs of high-end customers in different fields, and has become the enterprise with the largest variety of products in the whole industry in China.

Among them, the engineering plastic grade chip product series has a wide range of viscosity, which has successfully filled the gap of similar products in China, and the full matting series products have successfully achieved effective substitution of imported products, breaking the long-term dependence on foreign technology and products.

"At present, the production technology and product performance of Polymer Shun have been at a high level, and it is the first-level enterprise in the nylon 6 slice industry. On the one hand, consolidate the dominant position of existing products, improve product quality and performance, and gradually replace imported high-end products, on the other hand, focus on the development of new special polyamide materials to achieve product diversification and high-end development.

How did the only private enterprise listed on the main board in China in this field make "white rice" at the forefront of the industry?

In the face of the current boom in the fields of outdoor sports and new energy vehicles, Jushun has set up a marketing department to grasp the demand for cutting-edge technologies in a forward-looking manner through in-depth analysis of competitive products and insight into accurate customer demands, so as to develop new products and technologies that meet market demand.

For example, for outdoor equipment with different functions such as sunscreen clothing, mountaineering clothing, and ski clothing, Jushun has developed differentiated raw materials with matching characteristics, and in the face of the electrification transformation of the automotive industry, it has successfully developed high-temperature nylon materials with high temperature resistance, high rigidity, and high strength, which effectively serves the precision manufacturing of electrified parts.

How did the only private enterprise listed on the main board in China in this field make "white rice" at the forefront of the industry?

In the blink of an eye, the rapid development of Jushun is undoubtedly the best portrayal of the vigorous development of Qiantang new material industry.

At present, in this dynamic land, there are more than 90 new material enterprises above designated size, attracting investment projects from Bayer and other Fortune 500 companies, gathering many high-quality new material enterprises like Jushun, and basically forming an industrial cluster based on new chemical materials, high-performance fibers, electronic information materials, and cutting-edge new materials.

Driven by these leading enterprises of new materials, Qiantang is constantly approaching the overall goal of building a high-quality, highly competitive and modern new material industrial cluster.

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