On April 2nd, there was a notable movement in the PVDF concept, with Jinming Precision Machinery (300281.SZ) rising over 5% and Heimao Co., Ltd. (002068.SZ) rising over 6%. Yonghe Co., Ltd., Putailai, Sanmei Co., Ltd., and others also saw gains.

Polyvinylidene fluoride (PVDF) is a high-performance thermoplastic polymer renowned for its exceptional chemical resistance, mechanical strength, and thermal stability. These properties make PVDF an ideal material for applications in harsh environments where other polymers may fail.

According to a research report published by Research and Market, the global polyvinylidene fluoride (PVDF) market in 2023 is estimated to be 51,600 tons, and it is expected to reach 67,000 tons by 2030, with a compound annual growth rate (CAGR) of 3.8% from 2023 to 2030.

Currently, PVDF has become the second largest fluoropolymer after polytetrafluoroethylene (PTFE), possessing excellent properties distinct from other fluoropolymers represented by PTFE. It is mainly applied in three major fields: petrochemicals, electronics and electricity, and fluorocarbon coatings. Taking photovoltaic backsheet film as an example, PVDF films are safe, reliable, and have good corrosion resistance, making them the preferred material for photovoltaic backsheet films. Its application in this field has rapidly developed and gained widespread recognition.

Jinming Precision Machinery stated as early as September 19, 2021, that the company can customize the design and production of PVDF film blowing machine units according to customer needs, and related products have already been sold. The PVDF films produced are mainly used in fields such as solar backplanes.

Heihe Cat Co., Ltd. previously announced its plan to jointly invest with Lianchuang Co., Ltd. to establish "Inner Mongolia Lianhe Fluorocarbon New Materials Co., Ltd." in Uahu City, Inner Mongolia, where Heihe Cat Co., Ltd. will hold a 20% stake and Lianchuang Co., Ltd. will hold an 80% stake. The two parties will use the joint venture company as the main body to construct a 50,000 tons/year PVDF and supporting industrial chain project.

In terms of performance, Black Cat Company mainly engages in the production and sales of carbon black, refined tar, and precipitated silica products, with over eighty percent of its revenue coming from carbon black products, making it the company's primary business product. As of the half-year report for 2024, Black Cat Company's operating income was 4.913 billion yuan, representing a year-on-year increase of 11.08%; the net profit attributable to shareholders was -544.836 million yuan, marking a year-on-year growth of 76.90%.

Jinming Precision Machinery's main businesses include plastic machinery and film, with primary products such as intelligent film equipment, high-barrier functional flexible packaging films, bi-directional stretch films, and industrial big data platforms. According to the company's 2024 annual report, Jinming Precision Machinery's revenue was 474 million yuan, representing a year-on-year increase of 4.37%; net profit attributable to shareholders was 7.114 million yuan, up 5.93% year-on-year.

At the same time, the product introduction of the ClassicX series on the Jinhui Precision Machinery official website clearly lists the PVDF film blowing unit. This series is a customized and high-capacity mid-to-high-end model launched by Jinhui Precision Machinery to optimize existing models. Based on standard configurations, it can be customized according to customers' actual production and processing needs and process conditions, meeting customers' high-quality production requirements for film uniformity control, film transparency, film stiffness and toughness, and film output.

It is understood that the biaxially oriented film industry, where Jinming Precision Machinery is located, has extremely high requirements for resin materials and film processing equipment, as well as cleanliness standards in the processing workshop. Currently, most production capacity is concentrated among manufacturers in the United States, Japan, South Korea, and Taiwan. Jinming Precision Machinery seizes the opportunity of building a "special multi-functional smart factory project" to become one of the participants in the development of China's biaxially oriented film industry. By leveraging its advantages in the manufacturing of biaxially oriented film equipment, the company plays a leading and exemplary role in promoting intelligent production models for its downstream high-end film demand customers.

Moreover, the intelligent film equipment products for agricultural, medical, and industrial applications successfully developed by Jinming Precision Machinery in recent years have achieved domestic substitution, breaking the long-term reliance on imports.