Sun Paper to set up joint venture in Vietnam - Papermart

Sun Paper to set up joint venture in Vietnam

China’s Sun Paper will set up a joint venture in Vietnam with a local property firm, with Sun Paper owning 95% of the new company, according to its filing to the Shenzhen Stock Exchange on March 7.

The new joint venture will invest a total of US$15 million to build a 200,000 TPA timber processing plant and construct a port (wharf) with an annual throughput capacity of 2 million tons, which will be used to import bulk timber. The JV will focus primarily on timber acquisition, processing and marketing.

Sun Paper said it will set up paper pulp production bases in Laos, to ensure its increasing need of paper pulp, and plans to ship wood chips from Vietnam and Laos later.

Sun Paper Group is a major producer of paper and board in China, with a combined production capacity of 1,500,000 metric ton per year. The Group consists of three companies: Shandong Sun Paper Co., Shandong International Paper & Sun Coated Paperboard Co., and International Paper & Sun Cartonboard Co.