Company Profile
Jiangsu Eastern Shenghong Co., Ltd. (hereinafter referred to as “the Company”) is a globally leading energy and chemical enterprise that has vertically integrated the whole industrial chain and been deeply engaged in the new energy and new materials business. It is a core listed subsidiary of Shenghong Holding Group Co., Ltd. (hereinafter referred to as “Shenghong Group”), a Fortune 500 company. In August 2018, it successfully entered the Chinese capital market as the primary operating entity of Shenghong Group’s chemical fiber assets and was listed on the Main Board of the Shenzhen Stock Exchange after restructuring. The Company’s stock abbreviation is “Eastern Shenghong” and its stock code is “000301.”
The Company is primarily engaged in the industries of petrochemical, new chemical materials, polyester, and chemical fibers, with industrial bases in Lianyungang, Suzhou, and Suqian in Jiangsu Province. The Company has more than 50 subsidiaries and branches, including Shenghong Refining & Chemical (Lianyungang) Co., Ltd., Jiangsu Sierbang Petrochemical Co., Ltd. (hereinafter referred to as “Sierbang Petrochemical”), Jiangsu Honggang Petrochemical Co., Ltd. (hereinafter referred to as “Honggang Petrochemical”), Jiangsu Guowang Hi-Tech Fiber Co., Ltd. (hereinafter referred to as “Guowang Hi-Tech”), Shenghong New Materials (Suqian) Co., Ltd., and Jiangsu Ruibang Technology Co., Ltd. The Company has approximately 30,000 employees in service. The Company’s wholly-owned subsidiaries, Guowang Hi-Tech, Sierbang Petrochemical and Honggang Petrochemical have been awarded the national Green Factory and several subsidiaries are national high-tech enterprises.
The Company has a refining-petrochemical integration plant with a capacity of 16 million metric tons/year, a methanol-to-olefin (MTO) plant with a capacity of 2.4 million metric tons/year, and a propane dehydrogenation (PDH) plant with a capacity of 700,000 metric tons/year, and has formed an industrial pattern of "double chains" of olefins and aromatics and has unique capabilities in integrative production of olefins, kerosene, coal and natural gas which has gradually formed an integrated chemical industry chain with vertical integration. Relying on refining integration, alcohols coproduction and propylene industry chain projects, the Company has established a basic chemical raw material supply platform for downstream fine chemicals industries. The Company has established a new development strategy of "strengthening, extending and supplementing" the industrial chains from upstream oil refining to downstream high-value-added fine chemicals. The Company has formed an industrial layout of "1 core platform + N diversified industry chains" for new energy, new materials, electronic chemicals, biotechnology and other emerging industries developing in a coordinated way. Looking ahead, the Company will, on one hand, further expand the vertical integration of its entire industrial chain and deepen strategic layouts in new energy and new materials, and on the other hand, begin implementing its artificial intelligence strategy, including strengthening AI infrastructure construction, deepening scenario empowerment, focusing on the application of petrochemical refining, new energy and new materials, high-end textiles, and other industries fields, continue to cultivate ’new quality productivity’ to build a world-class energy and chemical enterprise under the wave of AI.
Company Message
The year 2024 is a year of change. The external environment is constantly shifting, with international situations fluctuating, structural changes emerging in the domestic consumer market, and rapid advancements in technology. At the same time, against the backdrop of a trend towards green and low-carbon transformation, societal demands for high-quality development from enterprises are gradually increasing. Jiangsu Eastern Shenghong Co., Ltd. (hereinafter refer to “the Company”, situated in the basic and pillar petrochemical industry of the national economy, faces numerous challenges. The Company adheres to a resilient spirit and foundational confidence, upholding the value concepts of "safety, integrity, innovation, and transcendence." Through governance and technological innovation, the Company strive to achieve stable, healthy, and sustainable development, continuously innovating in fields such as new energy, new materials, and carbon dioxide comprehensive utilization, promoting the industrial chain towards high-end, intelligent, and low-carbon development, contributing to high-quality industrial growth and stable national industrial growth.
This year marks the Company’s strides in expanding its industrial footprint. Products such as PETG, nitrile latex, and EC/DMC have successfully launched in one go; new chemical materials projects like POSM and polyol units have all been put into operation; photovoltaic-grade EVA has added 200,000 tons of capacity, bringing the total capacity to 500,000 tons/year, further enhancing scale advantages. The Company thoroughly implements the “1+N” development strategy, broadly expanding its layout, and focusing on various requirements for developing new quality productive forces, relying on a 'coal-based, oil-based, gas-based' large chemical platform to continuously improve its industrial and product chains in the new energy and new materials field, actively adhering to the requirements for developing new quality productive forces.
This year documents the Company’s innovative practices in climbing to new heights. The Company has built the world’s first 'from carbon dioxide to polyester fiber' industrial chain and has been awarded the 'International Textile Manufacturers Federation Sustainable and Innovation Award'; its composite fiber melt-blown technology has received the first prize for technological advancement from the China Textile Federation; Jiangsu Sierbang Petrochemical Co., Ltd. has been recognized as a “manufacturing industry champion enterprise” by the Ministry of Industry and Information Technology; the PDH intelligent factory project of the Jiangsu Shenghong Petrochemical Industry Group Co., Ltd. won the “2023 Most Influential Engineering Project in the Field of Automation in China”; and Suzhou Suzhen Bioengineering Co., Ltd. has established an innovative R&D center for bio-based new materials. Moreover, the Company has affiliated centers like the National Advanced Functional Fiber Innovation Center, Shenghong Petrochemical Innovation Center, and Shenghong Advanced Materials Research Institute, actively building innovation platforms to enhance key core technology breakthrough capabilities and cultivating the development of 'new quality productive forces.' Led by the 'government + leading enterprise' cooperation model, the national demonstration zone project of the new material pilot base in the eastern, central, and western regions is under planned construction. Once completed, this project will accommodate 20 chemical pilot projects simultaneously, assisting the nation in overcoming critical technological bottlenecks in the chemical field. The Company insists on deeply empowering through technological innovation and intelligent application, consolidating the foundation for high-quality enterprise development, implementing innovation platforms across various industry sectors, enhancing key core technology breakthrough capabilities, and promoting the integration of the 'three chains' of innovation, industry, and talent, innovatively creating the 'Shenghong model' for the transformation and upgrading of manufacturing.
This year has written vivid stories of the Company’s green and low-carbon transformation. The Company explores the path of whole-process carbon reduction. Jiangsu Shenghong Petrochemical Industry Group Co., Ltd. signed a cooperation agreement with Jiangsu Nuclear Power for clean power supply, becoming the industry’s first enterprise to receive and utilize nuclear power steam; Jiangsu Reborn Technology Co., Ltd. has been included in the first batch of carbon peak and carbon neutrality pilot projects in Jiangsu Province; the Company continuously enriches its green product system, launching the 'reocoer' carbon capture fiber brand, and the brand influence of 'Reborn' recycled fibers has further expanded. Upholding the new development philosophy of innovation, coordination, green development, openness, and sharing, the Company insists that new quality productive forces equate to green productive forces, deeply engaging in green technology through comprehensive efforts in low-carbon, zero-carbon, and negative-carbon and opening pathways for the industry’s green and low-carbon transformation through technological breakthroughs.
Currently, the industry is undergoing a transformation phase, and the Company is closely following national policy directions, leading industrial development trends, and seeking certainty amidst change. The 2024 Economic Work Conference specifically deployed initiatives regarding "new quality productive forces" and "comprehensive green transformation." The Company firmly grasps the trends of high-end, intelligent, and low-carbon development, seizes opportunities, and promotes industrial transformation and upgrading. The Company accelerates the construction of high-end deep processing industrial chain projects, expands products with high added value and high technical content; advances the construction of intelligent factories, employing technologies like artificial intelligence to establish a high efficiency, high quality, low-cost operational system, reducing energy consumption and raw material waste while enhancing safety production risk management capabilities. Simultaneously, the Company seizes development opportunities to "create a healthy development ecosystem for the green low-carbon industry," building a green low-carbon industrial chain to forge a new path for green development.
In the face of a severe and complex external environment, the Company remains calm and upholds the "Spirit of Shenghong," characterized by an "unquenchable spirit of progress," a "never-say-die spirit of struggle," and a "perpetual spirit of innovation." Faced with constantly evolving industry trends, we adapt flexibly, daring to step outside comfort zones, explore new models, and venture into new arenas. In the face of increasingly fierce market competition, the Company is gearing up, continuously building cost competitiveness, technological innovation capability, and brand influence, steadily making strides toward the goal of becoming a “world-class enterprise with global competitiveness.”
History
2024Year1Month，The PETG facility independently developed and designed by the Company successfully went into production, and multiple independent patent were applied for around this facility. The research and production of downstream new energy and new material products continued to deepen, accelerating the extension of the downstream value chain. 2024Year3Month，Sierbang Petrochemical was recognized as a "Manufacturing Industry Champion Enterprise" by MIIT. 2024Year4Month，The Petrochemical Industry Group’s PDH Smart Factory project received the "2023 Most Influential Automation Project of the Year in China" award. 2024Year6Month，Petrochemical Industry Group became the first Company in the industry to receive and utilize nuclear power steam. 2024Year9Month，The Company established the world’s first "CO₂-to-polyester fiber" industrial chain using carbon-capture technology, earning the "International Textile Federation Sustainability and Innovation Award" and launched the carbon capture fiber brand "reocoer." 2024Year10Month，Sierbang Petrochemical successfully produced 200,000 tons/year of EVA products, increasing total production capacity to 500,000 tons/year. 2024Year11Month，The Company’s research and industrialization project for melt direct spinning technology of polyester composite fibers won the first prize for technological progress from the China National Textile and Apparel Council for 2024.
2022Year1Month，Upon the approval of the SCRC (in No. 4179 [2021] of SCRC Permit), the Company issued 1,111,528,326 shares to Shenghong Petrochemical Group Co., Ltd. and Lianyungang Bohong Industrial Co., Ltd., which were listed on the Shenzhen Stock Exchange on January 27, 2022. As of February 25, 2022, the total share capital of the Company was changed to 5,946,495,968 shares and the registered capital was changed to CN¥5,946,495,968 due to the increase in the number of shares of the Company as a result of the issuance of shares and the conversion of convertible corporate bonds to shares. 2022Year7Month，Upon the approval of the SCRC (in No. 4179 [2021] of SCRC Permit), the Company issued 266,714,109 ordinary shares in renminbi to 22 specific investors, which were listed on the SZSE on July 20, 2022. As of July 20, 2022, the total share capital of the Company was changed to 6,213,237,010 shares and the registered capital was changed to CN¥6,213,237,010 due to the increase in the number of shares of the Company as a result of the issuance of shares and the conversion of convertible corporate bonds to shares. 2022Year12Month，Upon the approval of domestic and overseas agencies, that is, the SCRC (in No. 3151 [2022] of SCRC Permit) and SIX Exchange Regulation AG, the Company completed all matters concerning GDR issuance and listing on the SIX Swiss Exchange on December 28, 2022. In that offering, 39,794,000 GDRs were issued, corresponding to 397,940,000 A shares of the Company as additional underlying securities. As of December 31, 2022, the total share capital of the Company was changed to 6,611,189,232 shares and the registered capital was changed to CN¥6,611,189,232 due to the increase in the number of shares of the Company as a result of this offering of GDRs of the Company and the conversion of convertible corporate bonds to shares.
2021Year3Month，Upon the approval of the SCRC (in No. 512 [2021] of SCRC Permit), the Company issued 50,000,000 convertible corporate bonds on March 22, 2021, with a total issuance amount of CN¥5,000,000,000, which were listed for trading on the SZSE on April 21, 2021.
2020Year7Month，Upon the approval of the SCRC (in No. 655 [2020] of SCRC Permit), the Company issued 805,810,644 ordinary shares in renminbi to a total of 15 specific investors, including Shenghong (Suzhou) Group Co., Ltd., which were listed on the SZSE on July 15, 2020. The total share capital of the Company was changed to 4,834,863,866 shares and the registered capital was changed to CN¥4,834,863,866.
2018Year8Month，Upon the approval of the SCRC (in No. 1204 [2018] of SCRC Permit), the Company issued 28,10816,777 shares in a non-public offering in August 2018, which were listed for trading on the SZSE on September 3, 2018. The total share capital of the Company was changed to 4,029,053,222 shares and the registered capital was changed to CN¥4,029,053,222. 2018Year9Month，According to the resolution of the first extraordinary general meeting of shareholders in 2018, the name of the Company was changed from “Jiangsu Wujiang China Eastern Silk Market Co., Ltd.” to “Jiangsu Eastern Shenghong Co., Ltd.” and the stock abbreviation was changed from “Eastern Market” to “Eastern Shenghong.”
2008Year7Month，According to the resolution of the second extraordinary general meeting of shareholders in 2008, the Company’s name was changed from “Wujiang Silk Co. Ltd.” to “Jiangsu Wujiang China Eastern Silk Market Co., Ltd.” and the stock abbreviation was changed from “Silk Share” to “Eastern Market.”
2006Year10Month，The convertible corporate bonds issued and listed by the Company were cumulatively converted to share capital of 29,860,967,674 shares. According to the resolution of the first extraordinary general meeting of shareholders in 2006, the Company transferred 7 shares for every 10 shares in capital surplus to all shareholders on the basis of 7,166,609,674 shares in total (par value of CN¥1 per share) as at the close of business on October 30, 2006, and the Company’s share capital was increased by CN¥50,162,6771. At that time, the total share capital of the Company was changed to CN¥12,182,364,445 and the registered capital was changed to CN¥12,182,364,445.
2002Year9Month，Upon the approval of the SCRC (in No. 85 [2002] of SCRC Issue), the Company issued convertible corporate bonds of CN¥800,000,000 on September 9, 2002, which were listed for trading on the SZSE on September 24, 2002.
2000Year4Month，Upon the approval of the SCRC (in No. 35 [2000] of SCRC Issue), the Company issued 105,000,000 ordinary shares in renminbi to the public in April 2000, which were listed for trading on the SZSE on May 29, 2000.
1998Year7Month，Jiangsu Eastern Shenghong Co., Ltd. (formerly known as “Wujiang Silk Co., Ltd.” and “Jiangsu Wujiang China Eastern Silk Market Co., Ltd.,” hereinafter referred to as the “Company”) is a limited-liability company incorporated jointly by Jiangsu Wujiang Silk Group Co., Ltd., Jiangsu Province Silk Group Co., Ltd., China Silk Industry Corporation, China National Garments Group Corp., and Suzhou Foreign Development Corporation upon the approval of the Jiangsu Provincial People’s Government (in No. 71 [1998] of Suzhou Government Reply). The Company was established on July 16, 1998, with a registered capital of CN¥313,000,000. 1998Year9Month，Upon the approval of the China Securities Regulatory Commission (SCRC) (in No. 223 [1998] of SCRC Issue and No. 224 [1998] of SCRC Issue), the Company issued convertible corporate bonds of CN¥200,000,000 in August 1998, which were listed for trading on the Shenzhen Stock Exchange (SZSE) on September 15, 1998.
Organization
Honor
Blueprint For The Future
The Company is committed to promoting social harmony, environmental friendliness, and quality of life. It aims to practice excellence and lead the future by integrating benefit, environmental, and social dimensions into its standards, striving to achieve corporate value and create social value. The Company captures the industry trends of high-end, digital, and low-carbon development, fully advancing the transformation of strategic emerging industries. It focuses on new energy materials, high-performance new materials, and low-carbon green industries to build and form a core raw material platform + diversified industrial chains in new energy, new materials, electronic chemistry, and biotechnology, creating a "1+N" industrial pattern. The Company strives to build a world-class new energy and new materials high-tech industrial cluster, providing innovative chemistry and new materials for a green and sustainable future, to become a technology-oriented, application-focused, and scenario-based industry leading enterprise.
The Company will actively establish and promote a development strategy for artificial intelligence, creating a systematic and differentiated competitive advantage in the wave of AI. It will promote the application of AI in optimizing the production system, improving product R&D efficiency, and enhancing the quality of company management and operations. It aims to foster the integration of AI technology in the petrochemical industry, leading the industry from "experience-driven" to "AI intelligence-driven" comprehensive transformation and leapfrog development.
