Since 2025, several enterprises such as Nanjing Julong, Kingfa Sci. & Tech, and Wankai New Materials have announced plans to invest in and build overseas plastic factories.
Reasons for Chinese Plastic Enterprises to Build Factories Overseas: Coping with Barriers, Reducing Costs and Expanding Markets
In recent years, a large number of Chinese plastic enterprises have been accelerating their overseas layout and implementing global strategies by establishing production bases to cope with international trade barriers, reduce production costs and seize emerging markets. It is reported that since 2025, Nanjing Julong, Kingfa Sci. & Tech, Wankai New Materials and other enterprises have announced plans to invest in and build overseas plastic factories.
Nanjing Julong: Mexican Engineering Plastics Modification Factory Put into Operation
Recently, reports show that Nanjing Julong Technology Co., Ltd. officially put into operation its first overseas engineering plastics modification factory in Phase II of VYNMSA Industrial Park, Ramos Arizpe, Coahuila, Mexico.
It is understood that the project, with a total investment of 10 million US dollars, adopts intelligent extrusion production lines and environmentally friendly manufacturing processes, focusing on the customized production of modified plastics for the automotive, home appliance and sports equipment fields. Among them, in response to the efficient production demand for home appliance sealing components, the factory has introduced the Automatisk matning och montering av tätningsring system. Through the combination of automatic feeding and precision assembly, it has significantly improved the adaptation accuracy between sealing parts and modified plastic components, providing more reliable product solutions for customers in the North American market. The construction of this project aims to respond to the needs of the North American market through localized supply chains and strengthen the company’s competitiveness in the global engineering plastics field.
Kingfa Sci. & Tech: Simultaneous Promotion of Factories in Mexico and Poland to Improve Global Layout
In May, the groundbreaking ceremony of Kingfa Sci. & Tech’s Mexico construction project was held in the core industrial zone of San Luis Potosí. According to the plan, the Mexico project covers an area of 150,000 square meters and is planned to build a production line of 300,000 tons of high-performance modified plastics per year, with products covering downstream applications such as automotive, home appliances, electronics and electrical appliances. At the same time, Kingfa Sci. & Tech’s Poland project has also started construction, with a planned annual capacity of 300,000 tons, which is expected to be completed and put into operation in the second half of 2026.
It is worth noting that since Kingfa Sci. & Tech established its U.S. subsidiary in 2015, it has set up production bases in many countries, including Germany, India, Malaysia, Vietnam, Spain and Indonesia. In 2024, the company’s overseas revenue accounted for 16.56%, and it is expected that with the successive commissioning of overseas factories in the future, its revenue will further increase.
Wankai New Materials: Indonesian Polyester Chip Production Base Settled
In April, Wankai New Materials announced that it plans to invest 2.02 billion yuan to build a 750,000 tons/year polyester chip production base in Indonesia. It is reported that Wankai New Materials plans to invest in the construction of an overseas polyester chip production base in Indonesia through Chongqing Wankai New Materials Technology Co., Ltd., a 100%-controlled subsidiary. The planned production capacity of the project is 750,000 tons/year, with a total investment of 2.0197 billion yuan.
According to the announcement, Wankai New Materials’ construction of overseas production capacity aims to implement the company’s international strategic layout and build a global industrial and sales service network around the core markets in overseas regions.
Liansu Group: Tanzanian Plastic Pipe Production Base Opened
In March, a grand opening ceremony was held for Liansu’s Tanzanian plastic pipe production base. Liansu (Tanzania) production base is committed to providing high-quality plastic pipe products and one-stop product solutions for markets in countries around Tanzania. It will focus on the production of plastic pipes, including PVC-U water supply pipes, PVC-U drainage pipes, PVC wire pipes, PP-R water supply pipes, PE water supply pipes, etc., with an annual production capacity of about 30,000 tons.
Conclusion: The Globalization of Chinese Plastic Enterprises Enters a New Stage, with Leading Enterprises Dominating Industrial Upgrading
In general, the globalization layout of plastic enterprises in Jiangsu and Zhejiang has been further deepened, and domestic related enterprises have also entered a new round of development period when going overseas. In the future, the industry expects that enterprises with global layout capabilities are expected to dominate industrial upgrading and usher in more market opportunities.
Automatic, efficient and powerful assembly machine
Technical advantages of continuous motion multi-piece assembling machine
