Recently (November 13), Zhongyifeng LPSK Aluminium Co., Ltd. (“LPSK”) issued an announcement that the company plans to invest 41 million yuan in a production line of recycled aluminum alloy casting rods. After the completion of the construction, the company’s production capacity of recycled aluminum alloy cast rods can be increased by 18,000 tons.
It is understood that this construction project is implemented by the company’s wholly-owned subsidiary-Suzhou Mingheng Metal Technology Co., Ltd. (“Mingheng Metal”). The construction content of the project includes the production of high-performance aluminum alloy remelting cast rods for new energy vehicles and 3C electronic products through the purchase of secondary aluminum smelting furnaces, casting machines and auxiliary equipment, technical services, recycling of waste aluminum, and adding other alloy components.
Roppkin said that this investment will help accelerate the optimization of the company’s product structure, enhance the company’s comprehensive competitiveness, enhance profitability, and promote sustainable development, which is in line with the company’s long-term development strategic plan.
On July 1, 2021, the National Development and Reform Commission issued the “14th Five-Year Plan for Circular Economy Development”, which pointed out that vigorously develop circular economy, promote resource conservation and intensive utilization, and build a resource recycling industry system and waste material recycling system. The plan points out that by 2025, the output value of the resource recycling industry will reach 5 trillion yuan, and the output of recycled aluminum is expected to reach 11.5 million tons by 2025.
Mingheng Metal Company was established in December 2011 and covers an area of more than 50,000 square meters. It is mainly engaged in the research and development of high-precision aluminum alloy materials, and the production, processing and sales of aluminum alloy ingots (rods). The aluminum alloy cast rods produced by Mingheng Metal will eventually be used in electronics, automobiles, machinery, pressure vessels, construction and other fields after customer procurement and processing, with an annual production capacity of 120,000 tons.
LPSK is mainly engaged in the research and development, design, production and sales of new aluminum alloy casting rod materials, aluminum alloy profiles, and aluminum alloy system doors and windows; and related businesses such as intelligent building construction around smart cities.
In the first three quarters of 2021, LPSK’s total operating income was 1.177 billion yuan, a year-on-year increase of 172.93%; net profit was 15.718 million yuan, a year-on-year increase of 211.46%.