According to an article published by AAstock Financial News dated on 16th August, China Zhongwang has been undergoing a gradual recovery from the negative impact brought by the US anti-dumping and countervailing duty investigations by leveraging the performance of the China market. Mr Lu Changqing, Executive Director and Vice President of China Zhongwang, said that the gross profit margin of the Group will continue to rebound as a result of the increased proportion of high-end products sales, particularly the aluminum alloy products such as 2nd, 4th, 5th and 7th series which generate higher gross profit margins. These series are exempted from the impacts of the US anti-dumping and countervailing investigations and will be exporting to US. The Group has also set up a specialized deep-processing team to raise the gross profit margin further.

China Zhongwang will increase the proportion of export sales and will not give up developing the US market. The Group already received orders of around 180,000 tons in the first half of the year and the targeted order volume is around 400,000 tons for the year.  The Group is now working with the General Motors Corporation to research on the production of aluminum automobiles.

Mr. Lu said that the Group will install 18 more sets of large-scale extrusion presses of over 75MN in the coming two years.  It is projected that the annual production capacity will be increased from 700,000 tons in the first half of this year to over 1,000,000 tons in 2013. Besides, the Group will develop the high-precision aluminum flat rolled products project with annual production capacity of 3 million tons in phases. These new production facilities are expected to put into production in 2014 and will reach full capacity in 2018 with an annual investment of RMB 5 billion.