MIRA INFORM REPORT

 

 

Report Date :

16.07.2014

 

IDENTIFICATION DETAILS

 

Name :

DAIREN CHEMICAL CORPORATION

 

 

Registered Office :

7th Fl., No.301, Songkiang Road, Taipei

 

 

Country :

Taiwan

 

 

Date of Incorporation :

30.06.1979

 

 

Com. Reg. No.:

12233428

 

 

Legal Form :

Joint Stock Company

 

 

Line of Business :

Manufacturing and sales of chemicals.

 

 

No. of Employees

1,000

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Status :

Satisfactory

Payment Behaviour :

No complaints

Litigation :

Clear

 


 

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

 

ECGC Country Risk Classification List – March 31, 2014

 

Country Name

Previous Rating

(31.12.2013)

Current Rating

(31.03.2014)

Taiwan

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low Risk

 

A2

Moderate Low Risk

 

B1

Moderate Risk

 

B2

Moderate High Risk

 

C1

High Risk

 

C2

Very High Risk

 

D

 

 


 

TAIWAN ECONOMIC OVERVIEW

 

Taiwan has a dynamic capitalist economy with gradually decreasing government guidance of investment and foreign trade. Exports, led by electronics, machinery, and petrochemicals have provided the primary impetus for economic development. This heavy dependence on exports exposes the economy to fluctuations in world demand. Taiwan's diplomatic isolation, low birth rate, and rapidly aging population are other major long-term challenges. Free trade agreements have proliferated in East Asia over the past several years, and following the landmark Economic Cooperation Framework Agreement (ECFA) signed with China in June 2010, Taiwan in July 2013 signed a free trade deal with New Zealand—Taipei’s first-ever with a country with which it does not maintain diplomatic relations—and in November inked a trade pact with Singapore. Negotiations continue on follow-on components of ECFA regarding trade in goods and a dispute resolution mechanism; a trade in services agreement is under review in the legislature. Taiwan's Total Fertility rate of just over one child per woman is among the lowest in the world, raising the prospect of future labor shortages, falling domestic demand, and declining tax revenues. Taiwan's population is aging quickly, with the number of people over 65 accounting for 11.2% of the island's total population as of 2012. The island runs a large overall trade surplus largely because of its surplus with China, and its foreign reserves are the world's sixth largest, behind China, Japan, Saudi Arabia, Russia, and Switzerland. In 2006 China overtook the US to become Taiwan's second-largest source of imports after Japan. China is also the island's number one destination for foreign direct investment. Taiwan since 2009 has gradually loosened rules governing Chinese investment on the island, and has also secured greater market access for its investors in the mainland. In August 2012, Taiwan Central Bank signed a memorandum of understanding on cross-Strait currency settlement with its Chinese counterpart. The MOU allows for the direct settlement of Chinese RMB and the New Taiwan dollar across the Strait, which could help develop Taiwan into a local RMB hub. Closer economic links with the mainland bring greater opportunities for the Taiwan economy, but also poses new challenges as the island becomes more economically dependent on China while political differences remain unresolved.

 

Source : CIA

 

 

 


Company name and address

 

Company Name:

DAIREN CHEMICAL CORPORATION

Supplied Name:

DAIREN CHEMICAL CORPORATION TA-FA FACTORY

Trading Address:

9th Fl., No.301, Songkiang Road, Taipei Taiwan R.O.C.

Supplied Address:

Taiwan, No 19-2, Huaxi Rd, Daliao Dist, Kaohsiung City 83164

Telephone Number:

+886-2-7743-1500

Fax Number:

+886-2-2509-9619

E-mail:

service@dcc.com.tw

Website:

www.dcc.com.tw

Notes: The exact name and address are as above. The supplied name and address belongs to subject’s Ta-Fa Factory.

 

 

Company Identification Details

 

Registered Name:

DAIREN CHEMICAL CORPORATION

Registered Address:

7th Fl., No.301, Songkiang Road, Taipei Taiwan R.O.C.

Date of Foundation:

1979-6-30

Registration Number:

12233428

Registry:

Department of Commerce, Ministry of Economic Affairs, R.O.C.

Registered Capital:

NTD 1,415,015,390 (USD 47,403,016)

(As of 2014.07, 1 NTD = 0.0335 USD)

Paid-up Capital:

NTD 1,415,015,390 (USD 47,403,016)

Legal Representatives:

Longxing Liao

Legal Form:

Joint Stock Company

Principal Activities:

Manufacturing and sales of chemicals, etc

Staff:

About 1,000 Employees

Listed at Stock Exchange:

No

Date of Last Annual Return:

2014-6-26

 

 

History

 

Subject was incorporated on 1979-6-30 with registered number 12233428 as Joint Stock Company in Taiwan.

 


 

Shareholders

 

Name

Subscription Shares

Longxing Liao

1,919,933         

 

Qingyuan Huang

 

3,735,286

 

Xinyi Zheng

1,817,927

Heqing Huang

2,260,190

Shuhong Lin

1,049,407

Qiongyu Liao

662,320

Chang Chun Petrochemical Co., Ltd.

56,849,844

Taichang Tanghuang

2,536,354

Tianran Huang

592,214

Xiandong Lin

1,556,428

Xianzhang Chen

459,851

Zheng Zheng

1,414,933

Hedong Huang

2,249,878

Limin Huang

290,973

Hezhou Huang

2,247,890

Anxian Lu

94,869

 

The information above is that of subject’s major shareholders.

 

Shareholder Information:

Registered Name:

Chang Chun Petrochemical Co., Ltd.

Registered Address

7th Fl, No.301, Songkiang Road, Taipei Taiwan R.O.C.

Telephone Number:

+886-2-2503-8131

Fax Number:

+886-2-2503-3378

Registration Number

11384806

Date of Foundation:

1964-7-10

Registry:

Department of Commerce, Ministry of Economic Affairs, R.O.C.

Registered Capital:

NTD 5,090,293,860 (USD 170,524,844)

(As of 2014.03, 1 NTD = 0.0335 USD)

Paid-up Capital:

NTD 5,090,293,860 (USD 170,524,844)

Legal Representatives:

Longxing Liao

Legal Form:

Joint Stock Company

Date of Last Annual Return:

2013-12-20

 

 

Subsidiaries & Branches

 

Related Companies

1

Name

CCD (Singapore) Pte Ltd

Address

29 Tembusu Avenue, Jurong Island, Singapore 627535

Telephone Number

+65-6515-5060

Fax Number

+65-6515-4307

2

Name

Chang Chun Dairen Chemical (Pan Jin) Co., Ltd

Address

1106, Hon-Guan building, LiaoBin Economic Zone, Pan-Jin, Liao-Nin,China

Telephone Number

+86-427-677-5001

Fax Number

+86-427-677-5012

3

Name

Chang Chun Plastics Co., Ltd.

Address

No.301 Songkiang Road, 7th Floor, Taipei 104 Taiwan

4

Name

Chang Chun Petrochemical Co., Ltd.

Address

No.301 Songkiang Road, 7th Floor, Taipei 104 Taiwan

5

Name

Nan Pao Resins Chemical Co., Ltd.

Address

12, Nan Hai Village, Shee Kang Shang, Tainan, Taiwan, R.O.C

 

Subsidiaries

1

Name

Dairen Chemical (M) Sdn. Bhd.

Address

PLO 18, Tanjung Langsat Industrial Estate, Mukim Sg. Tiram, 81700 Pasir Gudang, Johor, Malaysia

Telephone Number

+60-7-256-5800

Fax Number

+60-7-256-5799

2

Name

Dairen Chemical (Jiangsu) Co., Ltd.

Address

No.1 Dalian Road, Yangzhou Chemical Industry Park,211900 Yangzhou, Jiangsu, China

Telephone Number

+86-514-8326-8888

Fax Number

+86-514-8329-8855

 

Branch Company

Name

Mailiao Branch

Address

No.25 Formosa Industrial Park, Sansheng Village, Mailiao Township, Yunlin County

Registration Number

70760067

Date of Registration

1999-12-27

Manager Name

Xianzhang Chen

Date of Last Annual Return

2002-5-7

 

Factories

1

Name:

Mailiao Factory

Address:

No.25 Formosa Industrial Park, Sansheng Village, Mailiao Township, Yunlin County

Telephone Number

+886-5-681-2201

Fax Number

+886-5-681-2212

Date of Foundation:

2001-3-7

Date of Registration:

2001-11-1

Factory Registration Number:

99653185

Factory Manager:

Zhiquan Cai

Status:

In Production

Date of Last Annual Return:

2012-8-23

Major Products:

182 Petrochemical materials

Factory Area

About 84,459 square meters

2

Name:

Kaohsiung Factory

Address:

1-3 Hsing-Kung Road Ta-She Industrial Zone 815 Kaohsiung, Taiwan

Telephone Number

+886-7-351-4151

Fax Number

+886-7-351-4090

Date of Foundation:

1983-7-26

Date of Registration:

1990-12-31

Factory Registration Number:

99661598

Factory Manager:

Laixun Ye

Status:

In Production

Date of Last Annual Return:

2007-12-24

Major Products:

181 Basic chemical material

184 Synthetic resin, plastic and rubber

Factory Area

About 42,180 square meters

3

Name:

Ta-Fa Factory

Address:

No.19-2, Huaxi Rd., Daliao Dist., Kaohsiung City 831, Taiwan (R.O.C.)

Date of Foundation:

1988-8-31

Date of Registration:

1999-2-9

Factory Registration Number:

99661626

Factory Manager:

Mingzhao Li

Status:

In Production

Date of Last Annual Return:

2011-7-22

Major Products:

199 Other chemical products

 


 

Personnel Information

 

Core Management

 

Directors

1

Name

Longxing Liao

Position

Board Chairman

2

Name

Qingyuan Huang

Position

Vice Chairman

3

Name

Xinyi Zheng

Position

Executive Director

4

Name

Heqing Huang

Position

Executive Director

5

Name

Shuhong Lin

Position

Managing Director

6

Name

Qiongyu Liao

Position

Director

7

Name

Rongzong Chen

Position

Director

8

Name

Taichang Tanghuang

Position

Director

9

Name

Tianran Huang

Position

Director

10

Name

Xiandong Lin

Position

Director

11

Name

Xianzhang Chen

Position

Director

12

Name

Zheng Zheng

Position

Director

13

Name

Hedong Huang

Position

Director

14

Name

Limin Huang

Position

Director

15

Name

Shiguang Su

Position

Supervisor

16

Name

Hezhou Huang

Position

Supervisor

17

Name

Jinjun Cai

Position

Supervisor

18

Name

Kunyuan Huang

Position

Supervisor

19

Name

Anxian Lu

Position

Supervisor

 

Personnel Structure

 

Total Employees

About 1,000 Employees

 

 

Operation Information

 

Offices & Factories

 

 

Headquarters

Add

9th Fl., No.301, Songkiang Road, Taipei Taiwan R.O.C.

 

Production Information

 

Subject is a manufacturer of chemicals and etc.

It is introduced that subject has factories in Taiwan, mainland China, and Malaysia for production; the detail information is as follows for reference:

1

Name:

Ta-Fa Factory

Area (square meters):

129,151

Main Products:

1,4 Butanediol, 2-Methyl-1,3-Propanediol, n-Propanol, iso-Butanol, Alkoxylated 2-Methyl-1,3-Propanediol, Polytetramethylene-Ether-Glycol, Tetrahydrofuran

2

Name:

Kaohsiung Factory

Area (square meters):

42,180

Main Products:

Vinyl Acetate Monomer, Ethyl Acetate, Nitrogen, Allyl Alcohol, Liquefied Carbon Dioxide, Vinyl Acetate-Ethylene Emulsion, Vinyl Acetate-Ethylene Redispersible Powder

3

Name:

Mai-Liao Factory

Area (square meters):

84,459

Main Products:

Vinyl Acetate, Allyl Alcohol, 1,4-Butanediol, 2-Methyl- 1,3-Propanediol, n-Propanol, iso-Butanol, Polytetramethylene-Ether-Glycol, Tetrahydrofuran, Liquefied Carbon Dioxide

It is introduced that subject has obtained ISO9002, ISO 14001, OHSAS 18001, OHSAS 18001, ISO 9001: 2000 and etc certifications.

Subject’s production capacities as follows for reference:

Unit: MT

Product

Annual Capacity

Vinyl Acetate

1000,000

EVA Emulsion

330,000

VAE Powder

52,000

EVCL(EVA-VC / EVCL)

11,000

Vinyl Acetate

30,000

Nitrogen

35,000

Liquefied Carbon Dioxide

28,000

Allyl Alcohol

740,000

1,4-Butanediol

630,000

2-Methyl- 1,3-Propanediol

126,000

n-Propanol

63,000

iso-Butanol

63,000

AMPO

500

Polyteramethylene-Ether-Glycol

300,000

Tetrahydrofuran

510,000

 

 

Purchase Information

 

The registered activities of subject:

Business Code

Details

--

Manufacturing and sales of vinyl acetate, acetic ether, oxygen, nitrogen, ethylene, methylpropanediol, polytetramethylene ether glycol, carbon dioxide, propenyl, propyl alcohol, and hydrogen

--

Import and export of above products

C801010

Manufacturing of basic chemicals

C801020

Manufacturing of petrochemical materials

C801030

Manufacturing of precision chemical materials

C801040

Manufacturing of synthetic resin

C801050

Manufacturing of plastic raw material

C801060

Manufacturing of synthetic rubber

C801070

Manufacturing of high pressure gas

C802020

Manufacturing of artificial fiber

C802030

Manufacturing of coating and paint

C802120

Manufacturing of industrial additive

C901060

Manufacturing of fireproofing

C802120

Manufacturing of fertilizer

C802170

Manufacturing of toxic chemical substances

CC01010

Manufacturing of generator, transmission, and power distribution machinery

CC01050

Manufacturing of data storage and process equipment

CC01080

Manufacturing of electronic components

E599010

Piping engineering

I601010

Leasing industry

ZZ99999

Besides licensed business, all other business items those are not banned or restricted.

It is introduced that raw materials for production are purchases from both home and abroad.

It is introduced that subject imports technology from German and Japan.

 

 

Sales Information

 

The subject is mainly engaged in sales of chemicals, etc.

The products are applied to the industries of electronic, plastic rubber, textile, paint and automobile, etc.

Subject’s sales regions include Asia, Europe and America, etc.

Subject’s major customers are Speciality Construction Brands Inc. and URMI Chemicals (India), etc.

 

Major Products

 

Product

1

Vinyl Acetate

2

Vinyl Acetate-Ethylene Copolymer Emulsion

3

Ethylene-Vinyl Acetate-Vinyl Chloride Emulsion

4

Ethylene-Vinyl Chloride Emulsion

5

Vinyl Acetate-Ethylene Redispersible Powder

6

Ethyl Acetate

7

Nitrogen

8

Liquefied Carbon Dioxide

9

Allyl Alcohol

10

1,4-Butanediol

11

2-Methyl- 1,3-Propanediol

12

n-Propanol

13

iso-Butanol

14

Alkoxylated 2-Methyl-1,3-Propanediol

15

Polytetramethylene-Ether-Glycol

16

Tetrahydrofuran

 

Import and export right:

Import right

Yes

Export right

Yes

 

 

Settlements

 

Purchase

 

Domestic Purchase (Taiwan and Mainland, China)

Product

Terms

Proportion

Raw material, etc

Cash, T/T, Credit Sales, etc

100%

 

Foreign Purchase

Product

Terms

Proportion

Raw material, etc

L/C, T/T, etc

100%

 

Sales

 

Domestic Markets

Product

Terms

Proportion

Chemicals

Cash, T/T, Credit Sales, etc

100%

 

Export

Product

Terms

Proportion

Chemicals

L/C, T/T, etc

100%

 

Financial Information

 

Subject has no obligations to disclose its financial statements to the third party according to the relevant policy in Taiwan and the only source from which we can obtain the information is the subject itself.

Subject’s relevant staff Ms. Wang introduce subject’s revenue is about USD 1,400,000,000 in 2013.

 

 

Bankers

 

Subject declined to disclose its bank details; from other source we cannot obtain the relevant information, either.

 

 

Public Record

 

Mortgage

 

1

Case Type:

Chattel Mortgage

Certificate No.:

023772

Debtor Name:

Dairen Chemical Corporation

Document Number:

230530

Date of Registration:

1985-7-27

Date of Alteration:

1985-7-27

Status:

Paid off

2

Case Type:

Chattel Mortgage

Certificate No.:

062612

Debtor Name:

Dairen Chemical Corporation

Document Number:

534404

Date of Registration:

1999-7-20

Status:

Paid off

3

Case Type:

Chattel Mortgage

Certificate No.:

074539

Debtor Name:

Dairen Chemical Corporation

Document Number:

09105153690

Date of Registration:

2002-11-26

Status:

Paid off

4

Case Type:

Chattel Mortgage

Certificate No.:

091316

Debtor Name:

Dairen Chemical Corporation

Document Number:

09605126370

Date of Registration:

2007-7-2

Status:

Paid off

 

Lawsuit

 

Up to date of reporting, no existing or latent litigation of the subject has been found.

 

 

Interview Details

 

Name

Ms. Wang

Department

Sales Department


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.60.22

UK Pound

1

Rs.102.79

Euro

1

Rs.81.95

 

INFORMATION DETAILS

 

Analysis Done by :

DIV

 

 

Report Prepared by :

NIS

 

               

RATING EXPLANATIONS

 

RATING

STATUS

PROPOSED CREDIT LINE

 

>86

Aaa

Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums

 

Unlimited

 

71-85

Aa

Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums

 

Large

 

56-70

A

Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums

 

Fairly Large

 

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

 

Satisfactory

 

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

 

Small

 

11-25

Ca

Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity

 

Limited with full security

 

<10

C

Absolute credit risk exists. Caution needed to be exercised

 

Credit not recommended

 

--

NB

 

New Business

--

 

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

 

Financial condition (40%)            Ownership background (20%)                 Payment record (10%)

Credit history (10%)                    Market trend (10%)                                Operational size (10%)

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.