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China Chemical Corp. is a manufacturer of organic chemical compounds for use in a variety of applications encompassing the automotive, aviation, marine, construction, and food industries, among others. China Chemical Corp. trades on the OTCBB under the ticker symbol “CHCC”, and its operating subsidiary is established in Shandong Province, China. The Company is currently expanding its facilities to meet strong demand in China for its three primary products: Pthalic Anhydride, Maleic Anhydride, and 1,4-Butanediol.

Phthalic anhydride (PA) is an organic chemical used primarily in the production of polyvinyl chloride, or PVC. It is used as a high-volume “commodity plastic” for packaging, film, magnetic tape, tires, pipes, hoses, containers, and other everyday products.

Maleic anhydride (MAH) is an organic chemical used primarily in the production of unsaturated polyester and polyurethane resins. Unsaturated polyester resins are used as base material for fiberglass, reinforced high-quality adhesives, and paint for producers and manufacturers in the automotive, construction, aviation, transportation, and marine industries. According to SRI Consulting, a business research firm serving the global chemical industry, approximately 51% of the global MAH supply is utilized in the production of unsaturated polyester resin.

1,4-Butanediol (BDO) has a wide variety of applications, including elastic fibers such as Spandex, soft and rigid foam (dashboards, seating, and insulation panels), wheels, tires, bumpers, artificial leather (clothing, shoes), flooring, insulation, high-performance paints, drugs, cosmetics, and herbicides. BDO uses MAH as a feedstock, and SRI estimates that approximately 13% of global MAH supply is used in the production of BDO.

We currently have two production facilities with an annual total production capacity of 60,000 metric tons of MAH and 50,000 metric tons of PA. We have a widely diversified client base across numerous industries, which allows us to take advantage of growth in some of China’s fastest-growing industries. The MAH/BDO co-generation production facility with 50,000 tons of annual production capacity has been planned and permitted. Site development has begun.