China XD Plastics Company Ltd. ("China XD Plastics" or the "Company"), (Nasdaq: CXDC), the largest Chinese manufacturer engaged in the development, manufacture, and distribution of modified plastics primarily for use in automotive applications in China, today announced that the Company will establish of a new Research Center "Harbin Xinda Macromolecule Material Engineering Center Co., Ltd " registered at No.9, Dalian North Road, Harbin Economic and Technology Development District, Harbin, P.R. China which will be fully operational in early 2011.
The objective of the new research center will be to provide technical support for the Company's recently expanded modified plastic production base of 100,000 tons, as well as to enhance its research and development capabilities for modified plastics in new applications, such as new energy vehicles, by increasing the number of R&D personnel, the amount of equipment, and by expanding the facility infrastructure. In addition, the Company expects to build a strong foundation for upgrading its current R&D capability to meet State Level Engineering Technical Research Center standards.
"We are very pleased to announce this new Research and Development Center, which will enhance our research and product development efforts, increase our ability to influence the industry, and provide us with a powerful platform to achieve our growth targets, while at the same time qualifying for as a State level research center," commented Mr. Jie Han, Chairman and Chief Executive Officer of China XD Plastics.
The existing R&D staff and equipment will be relocated to the new center. Upon the completion of the new research center, the existing "Harbin Xinda Macromolecule Material Research Institute", which is not qualified for State Level Engineering Technical Research Center Standards, will be dissolved.