China Shihua Technology Accelerates Global Layout

Recently, Suzhou Shihua New Material Technology Co., Ltd. (referred to as Shihua Technology) disclosed that the company's main functional materials are in the upstream of the industry chain, and its main core products mainly adopt the terminal certification model. Therefore, the geographical location changes of customers downstream of the industry chain will not have a major impact on the company. In order to achieve long-term sustainable development of the company, the company is considering accelerating the process of globalization and improving global management capabilities.

Shihua Technology said that under the current background of insufficient momentum in the consumer electronics industry, the entire industry chain has remained cautious in stocking up. The company has achieved mass production on some new projects, and its performance in the third quarter has been relatively stable. Combined with the actual pace of mass production of new products by major customers, it is estimated that the overall stocking situation will be relatively stable in the second half of this year. The company will also actively pay attention to the market and customer conditions, and make reasonable production arrangements and stockings.

In the future, the company will continue to focus on the functional materials business. In terms of existing composite functional materials, it will accelerate the expansion of new application fields and new customers. At the same time, it will accelerate the business expansion of optoelectronic materials and high-efficiency sealants to strengthen revenue capabilities.

Regarding optoelectronic materials, Shihua Technology said that in the first half of this year, the company's optical production line has been successfully put into production, and the optical films used in polarizers have achieved new customer certification and mass production and sales, achieving import substitution. In order to improve the production capacity and production efficiency of optical materials, the company has placed an order for a new high-speed production line at the end of 2022. The new production line has now been installed at the factory and is expected to be put into use next year.