ALLENTOWN, Pa., Dec. 20, 2018 /PRNewswire/ -- Fuling Global Inc.
(NASDAQ: FORK) ("Fuling Global" or the "Company"), a specialized
producer and distributor of plastic serviceware, with precision
manufacturing facilities in both the U.S. and China, today announced its plan to set up
a manufacturing factory (the "Mexico Factory") in Monterrey, Mexico. With capital expenditure
budget of $2 million, we expect that
the first phase of the Mexico Factory will have an annual design
capacity of 10,000 tons and will be primarily used for producing
paper straws and paper cups serving the U.S. market. The Company
expects to launch commercial production at the Mexico Factory by
April 2019.
Earlier this month, the Company signed a building lease with
Interpuerto Industrial Park in Monterrey,
Mexico and a service agreement with a local shelter service
company to help with administrative, accounting, compliance,
import/export, human resources, etc., at the Mexico Factory.
Factory remodeling is expected to start in January 2019, followed by equipment installation
and testing and worker recruitment in March.
"The Mexico Factory is our second overseas expansion besides our
Allentown, PA factory in the U.S.
and marks another important milestone for the Company. The ongoing
U.S.- China trade tensions cast
uncertainties for our export business to the U.S. market, our
largest market segment that accounted for 85% of our revenues
during the first half of 2018. Therefore, the Mexico Factory offers
certain attractive benefits for us, including zero tariff on trade
between the U.S. and Mexico as
well as low labor and transportation costs. We have high hopes for
the Mexico Factory and view it as a key step for our continuing
global expansion," commented Ms. Guilan
Jiang, Chairwoman of Fuling Global.
About Fuling Global Inc.
Fuling Global Inc. ("Fuling Global") is a specialized producer
and distributor of plastic serviceware, with precision
manufacturing facilities in both the U.S. and China. The Company's plastic serviceware
products include disposable cutlery, drinking straws, cups, plates
and other plastic products and are used by more than one hundred
customers primarily from the U.S. and Europe, including Subway, Wendy's, Burger
King, Taco Bell, KFC (China only),
Walmart, and McKesson. More information about the Company can be
found at: http://ir.fulingglobal.com/.
Forward-Looking Statements
This press release contains information about Fuling Global's
view of its future expectations, plans and prospects that
constitute forward-looking statements. Actual results may differ
materially from historical results or those indicated by these
forward-looking statements as a result of a variety of factors
including, but not limited to, risks and uncertainties associated
with its ability to raise additional funding, its ability to
maintain and grow its business, variability of operating results,
its ability to maintain and enhance its brand, its development and
introduction of new products and services, the successful
integration of acquired companies, technologies and assets into its
portfolio of software and services, marketing and other business
development initiatives, competition in the industry, general
government regulation, economic conditions, dependence on key
personnel, the ability to attract, hire and retain personnel who
possess the technical skills and experience necessary to meet the
requirements of its clients, and its ability to protect its
intellectual property. Fuling Global encourages you to review other
factors that may affect its future results in Fuling Global's
annual report and in its other filings with the Securities and
Exchange Commission.
For more information, please contact:
At the Company:
Gilbert
Lee, CFO
Email: ir@fulingplasticusa.com
Phone: +1-610-366-8070 x1835
Web: http://ir.fulingglobal.com/
Investor Relations:
Tony
Tian, CFA
Weitian Group LLC
Email: ttian@weitianco.com
Phone: +1-732-910-9692
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SOURCE Fuling Global Inc.