SHANGHAI, Aug 6, 2014 (RISI) - Lee & Man Paper Manufacturing has started up a 400,000 tonne/yr recycled containerboard machine at a mill in Chongqing municipality in China.
Dubbed PM 20, the Valmet unit is 7.25 m wide and has a design speed of 1,100 m/min.
The machine is designed to make testliner grades in the basis weight range of 70-160 g/m². Its output is to be sold on the regional market around Chongqing.
The site also has a 165,000 tonne/yr bamboo pulp line and two recycled containerboard PMs with a combined capacity of 700,000 tonnes/yr.
Profits down, Vietnam proceeding: Lee & Man reported declining profit for the half year ending June 30.
Its revenue increased by 2.5% to HK$8.31 ($1.07 billion), but its net profit slid by 6.0% from HK$971 million to HK$913 million.
The firm reported the weak renminbi brought a loss of HK$67 million.
Although it has been rumored that the giant is reconsidering its investment in Vietnam, Lee & Man stated that its mill project there is on course, but did not reveal any details.
It plans to build a 400,000 tonne/yr recycled containerboard PM at a greenfield mill in Vietnam's Hau Giang province.
It has signed up China Haicheng Engineering Technology Holdings for the design, infrastructure construction, installation, some equipment purchasing, and construction management of the whole project.
In May, severe anti-China protests broke out in Vietnam and escalated into rioting that left many foreign-owned factories looted, damaged or destroyed.
Lee & Man specified that the project in Vietnam was not affected by the protests, for Hau Giang province is far from the provinces that saw riots near Ho Chi Minh city.