Shandong Tranlin Paper Co., Ltd., a China-based pulp and paper company will invest $2 billion over five years to establish its first U.S. advanced manufacturing operation on an 850-acre campus in the James River Industrial Center in Chesterfield County, Virginia.
“We are pleased that Virginia and Chesterfield County will be the site of our first U.S. advanced manufacturing operation,” said Mr. Hongfa Li, Chairman/President, Shandong Tranlin Paper Co., Ltd. “Virginia has abundant resources of agricultural stalks, power and water supply, manpower, and a strong transportation system—all necessary tools that guarantee Tranlin’s future development. More importantly, the Virginia team’s flexibility, patience, teamwork, cooperation, and above all, passion for foreign investment, factored into our decision. After an in-depth feasibility study that occurred over the past year, we have all the reasons to say “Yes, Virginia.”
“We are very excited about joining the welcoming community of Virginia and Chesterfield County,” said Jerry Z Peng, Chairman/CEO of Tranlin, Inc., Tranlin group’s recently established US entity. “We are even more excited about the opportunity to apply our innovative technologies in building an industry-leading production base in central Virginia. We are confident this will not only provide U.S. consumers with clean and eco-friendly paper products, but also serve U.S. agricultural interests and home owners with all-natural and highly effective organic fertilizers.” Mr. Peng also noted his ties to Virginia, having received his MBA from UVA’s Darden School and currently serving on its foundation board.
“The Tranlin operation in Chesterfield County represents a project of historic proportions for Virginia,” said Maurice Jones, Virginia Secretary of Commerce and Trade. “This global pulp and paper company is a national leading R&D Center for straw-based pulp and paper in China, among many other awards for innovation and invention, and will enter the U.S. market with its new paper and fertilizer manufacturing facility in Chesterfield County. The new 850-acre campus offers the potential for Tranlin to eventually produce its full product lines and continue to grow its operation and customer base while using Virginia’s natural resources. Attracting companies like Tranlin to Virginia is how we will build a 21st Century Virginia economy.”
“As we work to grow and diversify our economy, it is vital that we continue to build relationships with our largest agricultural and forestry trade partner, China, through both exports into Chinese markets and Chinese investments in business ventures here,” said Todd Haymore, Virginia Secretary of Agriculture and Forestry. “Tranlin represents a tremendous opportunity for Virginia’s corn and small grain producers by creating a lucrative new market for agricultural residuals that are typically left in the field. Based on the agricultural supply chain opportunities associated with the project, the economic benefit to farmers in this region alone could exceed $50 million per year once the project is complete and operating at full capacity.”
The Virginia Economic Development Partnership worked with Chesterfield County, the Virginia Department of Agriculture and Consumer Services, the Virginia Department of Environmental Quality, the Greater Richmond Partnership, Dominion Virginia Power, and the Virginia Port Authority to secure the project for Virginia. As an incentive, Governor McAuliffe approved a $5 million grant from the Governor’s Opportunity Fund to assist Chesterfield County with the project. Funding and services to support the company’s employee training activities will be provided through the Virginia Jobs Investment Program.
The company may be eligible to receive a Major Employment and Investment custom performance grant, subject to approval by the General Assembly. An MEI project is defined under current law as a regional economic development project in which a private entity is expected to make a capital investment exceeding $250 million in the Commonwealth and to create more than 400 new full-time jobs. As part of its review, the Commission may endorse certain incentive packages for approval by the General Assembly.