On June 3, 2026, Wuxi Yinda Nylon Co., Ltd. officially completed the acquisition of Germany’s Perlon Group, a move that has drawn wide attention across the chemical industry.
Perlon Group was founded in 1938 and is headquartered in Munderkingen, Baden-Württemberg, Germany. It is a global leader in synthetic filament yarns. Its products are widely used in industrial filtration fabrics for paper machines, dental medical fibers, cosmetic brush filaments, and other high-end industrial applications.
Before its bankruptcy, Perlon employed around 850 people, generated annual revenue of approximately €150 million, and operated three production sites in Germany, along with facilities in Poland and China.
The company’s difficulties began in 2022. The European paper machinery market continued to shrink, leading to a roughly 40% decline in capacity utilization. At the same time, surging energy prices and rising labor costs in Europe, combined with intensifying competition from Asia, placed sustained pressure on operations. Its parent company, Serafin, invested tens of millions of dollars in an attempt to stabilize the business, but was ultimately unable to reverse the downturn. On October 1, 2025, Perlon officially entered insolvency proceedings, with 7 of its 9 German subsidiaries filing for bankruptcy simultaneously.
After the insolvency filing, Perlon opened a global bidding process. No European strategic buyer stepped forward, and the factories were on the verge of full shutdown. Ultimately, Wuxi Yinda Nylon Co., Ltd. emerged as the successful bidder, acquiring three German production bases as well as facilities in Poland and China. Of Perlon’s 510 employees in Germany, 450 were retained, and the nearly century-old Perlon® brand will continue to operate.
In the same month, Longbai Group acquired a bankrupt UK chemical plant for $70 million, triggering strong reactions from European chemical industry circles. Meanwhile, Wanhua Chemical Group Co., Ltd. participated in the restructuring of France’s Vencorex through its Hungarian subsidiary. Other landmark deals—such as Sany Heavy Industry’s acquisition of Putzmeister, Midea Group’s acquisition of KUKA, and ChemChina’s acquisition of KraussMaffei—highlight the continued expansion of Chinese capital into European industrial assets.
In 2025, Germany recorded 24,064 corporate insolvencies, up 10.3% year-on-year, resulting in approximately €47.9 billion in economic losses. Between 2022 and 2025, Europe’s chemical industry shut down a cumulative 37 million tons of capacity, equivalent to 9% of total output. The CEO of INEOS stated bluntly: “High energy prices and carbon taxes have made production in Europe no longer economically viable.”
The fact that European buyers did not step in does not mean the asset lacked value—it reflects instead who can operate it at lower cost and still achieve the same output.
Wuxi Yinda Nylon Co., Ltd. was founded in 2004 and has long focused on high-performance long-chain nylon intermediates, nylon resins, and specialty nylon materials, making it an important player in China’s nylon new materials sector.
In 2020, the company reported total assets of approximately RMB 990 million, revenue of RMB 547 million, and net profit of RMB 67.27 million. Perlon’s products include synthetic monofilaments, and its upstream raw material is nylon resin—meaning Wuxi Yinda is already part of Perlon’s upstream supply chain. The acquisition represents a classic case of vertical integration along the industrial chain.
In addition, during Perlon’s restructuring period, production and sales at its three German plants continued without interruption, maintaining product quality and brand reputation.
The company’s collapse was primarily driven by excessively high energy and labor costs in Europe, which exceeded what the business could sustainably bear. After the acquisition, Wuxi Yinda can partially shift production processes to its facilities in China, leveraging lower energy and labor costs. With the same technology and brand, the cost structure changes significantly, creating a clearer path to profitability.
Through this acquisition, Wuxi Yinda Nylon Co., Ltd. has directly gained access to mature European production facilities, technical teams, and a global sales network.
The company stated that it will pursue long-term sustainable operations and use this acquisition to further strengthen and optimize its global industrial chain layout.
