PREC Breaks Ground on Huaibei Plant, Bolstering Sustainable Growth in the Fine Chemical Industry

Huaibei, Anhui Province, China, May 13, 2025 — The groundbreaking ceremony for Anhui Prechem New Materials Co., Ltd.’s project to annually produce 30,000 metric tons of EEP/MMP functional solvents and 30,000 metric tons of EA/MA monomers was jointly hosted by Shenzhen Prechem New Materials Co., Ltd. (PREC) and its subsidiary Anhui Prechem New Materials Co., Ltd. at the Huaibei New Coal Chemical Synthetic Materials Base (No. 8 Huai Xin South Road). With a total investment exceeding CNY 200 million, the project stands as a strategic initiative for PREC to strengthen its global functional solvent supply chain. Upon completion, the facility is expected to achieve an annual output value of CNY 550 million, further enhancing PREC’s international significance in the fine chemical industry.

Overview

• Cross-sector Participation: Attendees included Prof. Peng Xiaojun (Dalian University of Technology), Li Xiang (Director of Huaibei Linhuan Chemical Park Management Committee), Cao Fei (General Manager of Anhui Hi-Tech Industry Investment Co., Ltd.), Yang Xian (Vice President of Asia Coatings Federation and Executive Chairman of Shenzhen New Materials Industry Innovation Alliance), and Xiao Yang (Chairman of Shenzhen Feiyang Group).
• Ceremonial Proceedings: After the speeches, PREC CEO Mr. Wu Xiaoqiang and General Manager Ms. Yu Dong’e, along with distinguished guests, used ceremonial golden shovels to officially lay the foundation stone, marking the commencement of the project. The event concluded with fireworks and the release of colorful balloons, symbolizing the promising prospects of the project.

Project Significance​​

1. Environmental Stewardship: Approved by Huaibei Ecology and Environment Bureau on February 6, 2025, the project employs green production technologies in line with the Carbon Peaking and Carbon Neutrality Goals of China.
2. Industrial Leadership: The facility will become the largest integrated EEP/MMP production complex in the world, solidifying PREC’s advantages in the global supply chain for functional solvents.
3. Economic Catalyst: The project is expected to create 100 local jobs, foster the development of new material industry clusters at the coal chemical base, and assist Huaibei’s transition from a coal-reliant economy to a new materials hub.

PREC CEO’s Remarks

Wu Xiaoqiang, the visionary Founder and CEO of PREC, holds ambitious aspirations for the project’s strategic significance:

1. Technological Continuity: Acknowledged guidance from Professor Peng Xiaojun, highlighting that PREC’s innovations in fine chemistry stem from relentless effort in developing core technologies.
2. Mutual Benefit: Recognized longstanding support from the Shenzhen Materials Industry Innovation Alliance and the Feiyang Group, pledging to deepen industrial synergies.
3. Huaibei Commitment: Established the foundation as a key strategy for PREC’s next decade, with the goal of serving global markets through product serialization and localization while also contributing to the development of high-quality manufacturing in China.

Outlook

Scheduled for operational launch in early 2026, the Huaibei facility will establish a highly-efficient “Shenzhen-Zhuhai-Huaibei” production network, consolidating the functions of R&D, pilot plant, and mass production. As Mr. Wu stated, “On this fertile land of endless potential, PREC will partner with the Huaibei government to achieve new milestones in green chemistry and pave a sustainable future.”