With the passage of time and as immutable as the rivers, the pace of time has entered a new node. In 2019, we celebrated the 70th anniversary of the founding of new China with brilliant achievements, devoted to the torrent of progress with the mission of striving for a new ear, running out of the “accelerated speed” and playing the “March”.

At present, the economy of China is in the crucial period of transforming the development mode, optimizing the economic structure and converting the growth power. With the keynote of “seeking improvement in stability”, we will continue to realize the steady growth, adjust the structure, prevent the risks and climb the peak. We stand at the new time point and contribute to the new chapter of the development of Eastern Shenghong with all walks of life through the report to review and summarize the past year, which has a great significance.

In the past year, facing the complex situation of profound changes in market structure and the continuous increase of uncertain and unstable factors, the Company has firmly adhered to the development strategy, maintained the development focus and actively sought for innovation and change, so that the overall operation made steady progress, the economic growth structure was continuously optimized, the growth power was further strengthened and the growth quality was continuously improved; with the successive injection of Shenghong Refinery and Honggang Petrochemical, the subsequent development of the Company is given more vitality and expended larger space; the refining integration project under construction is planned and constructed with the international first-class standards, and steadily advances towards the objective of reaching the production capacity in 2021; the synergistic effect of main business segments shall continue to highlight, and the construction of ecological chain and value chain of upstream and downstream industries is improved day by day, and the ability to resist risks and the comprehensive competitiveness of the Company continue to improve.

Innovation driven is the core power of company development. The advanced functional fiber innovation center led and built by us has been approved by the Ministry of Industry and Information Technology of the People’s Republic of China, becoming the national 13th and the provincial first national manufacturing innovation center in Jiangsu Province. It is also the first national manufacturing innovation center led and built by private enterprise. In the future, the center will aim at the key and core technologies with general character and drive the core competitiveness of domestic functional fiber industry to be further enhanced; we will continue to increase investment and base on the international frontier fields, to continuously improve the innovation system and platform carrier, accelerate the application technology development of new products, speed up the achievement transformation, continue to make efforts in both domestic and foreign markets, and open up more development space through differentiation strategy.

We promote the high-quality development with the concept of green priority, and highly integrate enterprise development with ecological civilization. Guowang Hi-Tech and Honggang Petrochemical successfully create the national “green factory”, and Honggang Petrochemical takes the lead in the preparation of national standards for PTA green factory; we strengthen green production in the whole process and carry out integration model of energy conservation and environmental protection, so a batch of energy-saving, water-conservation and emission-reduction transformation projects are implemented one after another, realizing source reduction, process control and cyclic utilization; we adopt new technology and new process so as to lead the green cycle of industry by biomass fiber and renewable materials; we build a safe and green production system, strengthen safety awareness, improve the level of resource utilization, and contribute to the protection of green hills and clear waters.

We are committed to our own development, simultaneously strive to practice and assume the responsibility and mission of excellent corporate citizens. On the basis of talents, we constantly improve the talent selection, training and incentive mechanism to gather the endogenous power for vigorous development; adhering to the value of “favoring employees and benefiting society”, we provide the employees with intimate care measures, various training opportunities and broad career development platform; we feel the same way and let the “positive energy” integrated into the corporate gene become culture and business card where the society needs us; we do not forget our original intention, and strive to deliver a high score with the mission of coordination and unification of economic responsibility, social responsibility and environmental responsibility.