China:Xiamen Tobacco starts technical transformation of production line

12/24/2008

Xiamen Tobacco Industry Co. of Fujian Provincial China Tobacco Industry Corporation in southeast China's Fujian Province - a key Chinese tobacco manufacturer - started the process of technical transformation of its Golden Bridge cigarette production line intended to double the company's annual production capacity and further upgrade its technological level. On December 19, a high-profile ceremony was held to lay the cornerstone for starting the technical transformation of the production line, which is a priority project of China’s tobacco industry in reforming the structure of Chinese-style blend-type cigarette production capacity, with a total investment of nearly 2.5 billion yuan (358 million U.S. dollars). When its technical transformation is completed, the production line will be capable of producing 20 billion Golden Bridge brand cigarettes (400,000 cases) and generating over 2 billion yuan (286 million U.S. dollars) in annual taxes and profits. Commenting on the project, Deputy Director-General Li Keming of the State Tobacco Monopoly Administration said that Golden Bridge is the first high-grade blend-type cigarette brand whose development was organized by Huamei Cigarette Co., Ltd. – the first Sino-foerign equity joint-venture tobacco manufacturing enterprise in China. Since its creation, Golden Bridge has enjoyed good sales in China, and has played a positive in checking cigarette smuggling into China and enhancing the international fame of Chinese cigarette brands. Golden Bridge is not only a key player of the tobacco industry of Fujian in its drive to develop high-qualify and famous cigarette brands, but is also one of the three representative Chinese-style blend-type cigarette brands of China’s tobacco industry as a whole. Enditem