Xianhe to Commission Guangxi Phase II Pulp and Paper Project by Mid-2027

Xianhe Co., Ltd. plans to bring its Guangxi Phase II project, with a combined pulp and paper capacity of 1.3 million tonnes per year, into full operation by mid-2027, according to its 2025 annual report.

The second phase of the Guangxi base will add 600,000 tonnes of pulping capacity and 700,000 tonnes of specialty paper capacity. The company stated that its newly built PM6 specialty paper production line is targeted to start operations earlier, in September 2026.

In 2026, Xianhe will prioritize ramping up output and fully releasing capacity at the first-phase projects in Guangxi and Hubei, while accelerating construction of the Guangxi Phase II expansion.

Alongside its Guangxi and Hubei developments, the company is advancing preparatory work for a proposed Sichuan project. This includes land-use approvals, environmental and energy assessments, and the development of bamboo forest resources and raw material supply chains to support future production.

Operationally, Xianhe reported significant growth in 2025. Machine-made paper output reached 1.64 million tonnes, up 35.08% year on year, while total sales of specialty pulp and paper rose 38.82% to 1.81 million tonnes. Revenue increased 20.14% to RMB 12.34 billion, and net profit attributable to shareholders totaled RMB 1.01 billion, up 0.88%.

At the regional level, Hubei Xianhe produced 188,500 tonnes of specialty paper and 223,700 tonnes of self-produced specialty pulp in 2025. Guangxi operations delivered 323,800 tonnes of specialty paper and 465,500 tonnes of wood pulp.

The company noted that self-produced pulp at both bases has reached a quality level comparable to imported wood pulp, enabling effective substitution.