HONG KONG, July 2, 2014 /PRNewswire/ -- Tiangong International Company Limited ("Tiangong International" or the "Group"; Stock Code: 826.HK), China's largest manufacturer of high-speed steel (HSS) and a leading manufacturer of HSS cutting tools and die steel, is pleased to announce that the Group's first direct investment joint-venture company in Taiwan, Xinzhenggong Company Limited ("XZG"), celebrated the inauguration of its new 6,000 square meter factory in Aspire Park in Lungtan Village, Taoyuan County.
Xinzhenggong Company Limited, in which the Group invested TWD50 million, is the sole distributor of the Group's products in Taiwan. XZG's sales network has covered the entire Taiwan market since its incorporation, with various high-speed steel (HSS), die steel and HSS cutting tools products sold by XZG enjoying market shares of 30% in Taiwan. The products, which are widely used and renowned for their quality, attract customers from Southeast Asia and have helped to boost sales in regions near Taiwan. Sales revenue for XZG is set to grow at a CAGR of 11% in 2012-2014, with sales revenue expected to reach USD10.2 million in 2014.
Mr. Zhu Xiao Kun, Chairman of Tiangong International, said, "After years of hard work, XZG has become the leading special steel supplier in Taiwan, and the Group's products have gained considerable influence in the Taiwan market through XZG. The inauguration of the new factory in Lungtan will not only help the Group further expand its market share in Taiwan, but will also boost the Group's export sales and strengthen its returns on investment. Through the continuous enhancement of its production capacity, Tiangong International will maintain its leading position in the industry in terms of sales and production volume and is working towards to becoming the world's leading manufacturer of quality high-speed steel (HSS), die steel and HSS cutting tools."
