Company to Establish New Manufacturing Facility in Indonesia
WENLING, China and ALLENTOWN, Pa, Nov. 25, 2019 /PRNewswire/ -- Fuling Global Inc. (NASDAQ: FORK), a manufacturer and distributor of environmentally friendly plastic and paper foodservice disposable products, today announced it has signed a 10-year lease on a property in Semarang City, Central Java, Indonesia, on which it plans to operate a 194,000 square-foot manufacturing and distribution facility.
Fuling Global said manufacturing equipment will be installed in two phases. The first phase is a 97,000 square-foot plant, which will produce straws, paper cups and plastic cup lids. Fuling expects to start trial production in the first phase during the first quarter of 2020. The second phase, which is another 97,000 square-foot plant, will be set up for production of disposable tableware, packaging containers and plates. The company anticipates trial production in the second phase during the second quarter of 2020.
"Our expansion into Indonesia will be Fuling Global's sixth manufacturing facility and third outside of Mainland China," said Xinfu Hu, CEO of Fuling Global Inc. "The new facility will provide further efficiencies and economic benefits, including reduced U.S. tariff expenditures. The Indonesian facility is part of our corporate initiative to expand marketing and sales throughout Southeast Asia, as well as serving U.S. markets.
"When fully operational, the Indonesian facility will have approximately 500 employees," added Fuling Global's Chairwoman Guilan Jiang. "As we continue our global expansion, we also are pleased that our recently completed manufacturing facility in Monterrey, Mexico successfully started its trial operation earlier this year. We shipped our first run of plastic straws from Mexico to our U.S. customers in October. In addition, we plan to produce other products at our Monterrey facility, including paper straws and paper cups, to serve our customers' evolving needs."
About Fuling Global Inc.
Fuling Global Inc. manufactures and distributes plastic and paper serviceware for the foodservice industry, with precision manufacturing facilities in the U.S., Mexico and China. The Company's plastic and paper serviceware products include disposable cutlery, drinking straws, cups, plates and other plastic and paper products and are used by more than one hundred customers primarily from the U.S., China 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/.
This press release contains information about Fuling Global's view of its future expectations, plans and prospects that constitute forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. Actual results, including, but not limited to, the timing of equipment installation and production trials on its new facility in Indonesia and customer demand for products from current and future facilities, 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. Fuling Global disclaims any obligation to update any forward-looking statements to reflect events or circumstances after the date hereof.
SOURCE Fuling Global Inc.