2018 Nonwovens Sales: $175 million
Yuan Ming Gu, owner; Zuwei Gu, CEO; Jingxian Cui, CFO
Spunbond, spunlace, meltblown, airlaid
Hygiene, medical, automotive, household, construction, industrial, personal care
Sales increased about 20% to reach $175 million at Dalian Ruiguang thanks to the addition of a new carded spunlace line which began operation in early 2018. While U.S. tariffs had some impact on sales, the company was able to compensate for these losses by developing other markets.
According to executives, growth is expected to continue thanks to the addition of three new production lines in China—two spunlace and one spunbond—which will bring the company’s total line count to 13 and its capacity to 80,000 tons (compared to 60,000 tons before the investment) by the end of 2019.
While supply has significantly outpaced demand in China, due partly to the U.S. tariff impact, Dalian Ruiguang has compensated for this shortcoming by developing new markets. One increasingly strong market in China is dry tissue, made from cotton and through crosslapped technology as well as flushable technology. Both of these technology types are posed to see significant growth due to the no plastic policy in Europe which will boost demand for 100% biodegradable products.