Yongye and Gulf Resources Poised to Post Improving Financials
June 23 2011 - 8:16AM
Marketwired
Chinese chemical manufacturers are seeing an uptick in demand this
year. China's booming economy has led to surging industrial and
agricultural activity, boosting the need for specialty chemicals.
The Bedford Report examines the Chemical Manufacturing Industry and
provides research reports on Yongye International, Inc. (NASDAQ:
YONG) and Gulf Resources, Inc. (NASDAQ: GFRE). Access to the full
company reports can be found at:
www.bedfordreport.com/YONG
www.bedfordreport.com/GFRE
Companies in the Chemical Manufacturing Industry provide a wide
range of products for use in a variety of applications. After the
recession battered many companies in the sector, several firms are
focusing on reducing their product portfolio and improving their
financials.
Gulf Resources manufactures and trades bromine, crude salt and
specialty chemical products for manufacturing industries and in
agriculture in China. Bromine prices are on the upswing this year.
China is currently the world's third largest bromine producer after
the United States and Israel. The production of bromine is
presently over 150,000 metric tons/year in China, but bromine
demand continues to outpace supply.
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Yongye International produces and markets two lines of organic
nutrient products: a liquid nutrient product which is sprayed on
plants and a powder nutrient product which is added to animal feed.
Shares of Yongye have been on the upswing following Morgan
Stanley's Asian private equity arm's $50 million investment in the
chemical manufacturer.
"We believe this transaction will not only provide us with the
financial resources to expand our operations to meet the growing
demand for our Shengmingsu agricultural nutrient products but also
will further enhance our corporate governance," Yongye's Chairman
and CEO Zishen Wu said in a statement.
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