"As a leading enterprise in China's paper industry, Sun Paper Group will continue its 'going out' strategy and build a project of 1.2 million ton annual paper production to follow the establishment of a wholly-owned subsidiary in Laos 10 years ago," said Wu Xinfang, manager of the group's publicity department during a recent interview.

The interview was part of the "Foreign Media on Jining" activity, which was jointly organized by the Jining municipal government and China Daily, inviting reporters from the world's major media organizations to discover the city's achievements over 40 years of reform and opening up.

A group of more than 20 foreign reporters visited the group's facilities on Oct 19.

Founded in 1982, Shandong Sun Paper Group is a leading company in China's paper sector. It ranks within the top 40 of the world's papermaking enterprises and within the top 500 of Chinese companies. 

Wu said that the company plans to invest $636.64 million to build the new project in Laos, which, when completed, will generate annual sales revenue of $641.5 million and annual net profit of $84.2 million.

The new project consists of a production line that can produce 400,000 tons of recycled fiber pulp board annually and two high-grade packaging paper production lines capable of 400,000 tons per year. With it, the group's investment in Laos will increase from $432.68 million to about $1 billion.

According to Wu, Laos is abundant in forestry and water resources and its forest coverage rate reaches 50 percent. Given this, Sun Paper Group set up a wholly-owned subsidiary with a registered capital of $200 million in Laos in October, 2008.

Thanks to abundant forestland resources, geographical advantages and favorable tax policies in Laos, the subsidiary has achieved high-quality development in the past 10 years.

Wu added that Sun Paper Group also contributed to local social and economic development, helping people out of poverty by building infrastructure and promoting comprehensive agricultural development.

"With the implementation of the Belt and Road Initiative, China and Laos share closer ties, which create enabling conditions for bilateral economic and technological cooperation," said Wu.                                           

A reporter from Pakistan (right) visits a production line at the Sun Paper Group in Jining, Shandong province on Oct 19. [Photo provided to chinadaily.com.cn] 

Foreign reporters visit the papermaking museum of Sun Paper Group in Jining, Shandong province on Oct 19. [Photo provided to chinadaily.com.cn] 

The advanced pulp and paper production line of Sun Paper Group in Jining, Shandong province. [Photo provided to chinadaily.com.cn]