Red Avenue New Materials(603650) 证券时报网·2025-03-07 11:03Core Viewpoint - The company, Tongcheng New Materials, plans to establish a joint venture in Thailand for a rubber additive production project, with a total investment of up to 70 million [1] - The registered capital of the new Thai subsidiary will be 600 million Thai Baht, with Hong Kong Tongcheng contributing 306 million Baht (51%) and Gold Dynasty Limited contributing 294 million Baht (49%) [2] - The project is expected to produce 30,000 tons of rubber additives annually and is projected to be completed by 2027 [2] Company Performance - In the first three quarters of 2024, the company reported revenue of 2.425 billion yuan, a year-on-year increase of 10.45%, and a net profit attributable to shareholders of 439 million yuan, up 25.31% [2] - The company generated over 500 million yuan in revenue from overseas markets in 2023, indicating a strong international presence [3] Industry Position - Tongcheng New Materials is recognized as a leading enterprise in the specialty rubber additive sector, ranking first in the processing rubber additive industry in 2023 [3] - Approximately 90% of rubber additives are related to the automotive industry, with about 70% of production directly used in tire manufacturing [3] - The total production of rubber additives in China reached 1.4986 million tons in 2023, with a year-on-year growth of 9% [3] Strategic Rationale - The investment in Thailand is part of the company's strategy to leverage cost advantages in Southeast Asia, enhance service to overseas clients, and strengthen its position as a core supplier [3] - This move is aligned with the company's global strategy to improve sales capabilities and adaptability to macroeconomic fluctuations and international trade dynamics [3]