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The company established a joint venture with local manufacturers in Zhejiang Province, China, and established a factory with an annual output of 150,000 tons. The company will begin production of corrugated paper in 2004. In addition, the company also obtained 23% of the issued shares of Shanghai Corrugated Paper Processing Co., Ltd. and participated in the company's operations to meet the rapidly growing Chinese domestic demand due to the entry of home appliance manufacturers.
The newly formed joint venture company is named Zhejiang Jingxing Nippon Paper Co., Ltd. (Capital of approximately 1.9 billion yen). Japan's papermaking company, which is part of Japan's UNIPAC, invests 41%, and Japan's pulp business contributes 14%. The goal is to achieve annual sales of 4.5 billion yen.
Japan's UNIPAC Holding Company decided on the 17th to improve its corrugated production system in China. This is the second company after Japanese companies relay RENGO (Joint).