Chairman Xie Bingkun’s 2024 New Year Message | Embarking on Excellence, Pioneering Global Leadership Toward New Heights
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2024-01-03
Time flies like an arrow, and the years pass in the blink of an eye; we are soon to welcome the auspicious Year of the Dragon. Looking back on 2023, all our employees worked together with one heart and unwavering determination, achieving remarkable results across every front. Despite the challenges posed by a global downturn in demand for pearlescent pigment products, Kunchai has maintained strong growth momentum, increasing its market share in the high-end segment while further expanding its brand influence and reach. It is particularly gratifying that the quality of products such as Zhengtai New Materials’ titanium dioxide series has met or even exceeded expectations, earning widespread recognition and unanimous praise from customers—outcomes that reflect our relentless efforts and commitment to excellence, and underscore the spirit of unity and forward drive that defines the Kunchai team. Though we have faced numerous pressures, we have remained steadfast in pursuing our ideals and goals, pressing ahead with courage and resolve. Even after weathering storms and trials, we remain confident that the dawn will surely break.
Dear colleagues, Kuncai’s mission is a truly great one. After 25 years of relentless effort, we have emerged as the global leader, holding the largest market share in the pearlescent pigment industry. Relying on the ingenuity of Kuncai’s team and upholding the corporate spirit of tenacious innovation and bold reinvention, Zhengtai New Materials has secured fully independent intellectual property rights and achieved industrial-scale production of the world’s first proprietary technology. Since Kuncai’s transformation into a publicly listed company, we have never relaxed; instead, we have cherished every opportunity to strive and innovate, laying a solid foundation for the company’s long-term development strategy. We have established a comprehensive industrial ecosystem and a sustainable business environment, aligning our efforts closely with the strategic goals of globalization, high quality, and sustainable growth, thereby contributing to the successful implementation of the 14th Five-Year Plan and the fulfillment of our 2023 objectives.
As global uncertainty continues to rise, geopolitical tensions are becoming more pronounced, downward economic pressures are spreading, demand remains on a declining trajectory, and market polarization is growing ever more evident. Against this backdrop, Kuncai leverages its distinctive brand, cutting-edge technology, top-tier talent, and advanced management systems, with innovation at the core of its growth engine. The company remains firmly focused on meeting diversified customer needs, continuously refining its product mix and business model, and adapting flexibly to both internal and external shifts. Our portfolio—including titanium dioxide and iron oxide products—has stood out in fierce competition for high cost‑effectiveness, aligning closely with future global market demands and competitive dynamics. By strategically capitalizing on brand synergies, user overlap, channel sharing, and complementary strengths, we are strengthening our brand strategy, deepening the intrinsic value and market share of our partnerships, and imbuing collaboration with greater strategic significance. At the same time, as we build an integrated network of strategic customers and distribution partners, we are actively harnessing the pivotal role of regional hubs to expand our reach and influence. We meticulously plan resource allocation and set clear performance targets, laying a solid foundation for a more cohesive and coordinated market strategy. In navigating market volatility with agility, the company will continue to refine its strategies, ensuring enhanced adaptability and competitive edge to maintain our leading position in the marketplace.
As we enter 2024, this is a pivotal year for realizing the goals of the 14th Five-Year Plan. We must clearly recognize that the company will face difficulties and challenges, requiring unity, close collaboration, and a steadfast focus on our core team to address existing issues and obstacles. Building on our current foundation, we will continue to unlock untapped potential and capabilities, driving ongoing innovation to refine our processes and technologies. We firmly believe that “there is no such thing as ‘the best’—only ‘better,’” and we remain committed to excellence across every dimension: processes and technology, products and quality, as well as management and efficiency. As the name suggests, the first set of initiatives places technology at the forefront, with concrete measures implemented in process engineering, equipment, product manufacturing, management, and control. We must work together with unwavering dedication to enhance and optimize our systems engineering, relentlessly pursuing excellence. Our primary strategic objective is to achieve even more significant results by further conserving energy, reducing resource consumption, and lowering all administrative costs. Our key operational targets include upgrading processes and carrying out technological transformations at Kunchai Pearl Pigment, while Zhengtai New Materials aims to establish an annual production capacity of 500,000 tons each, thereby fulfilling the company’s established goals.
Kuncai has always adhered to a people‑centric philosophy, fully unlocking the potential of each individual, empowering them, and continuously enhancing both personal and team capabilities. We are committed to constantly refining our compensation systems, performance appraisal frameworks, talent selection processes, team‑building initiatives, and equity‑incentive programs, while upholding the principles of innovation rooted in integrity and putting customers first. Our goal is steady progress and sustainable development. As we advance along the industry value chain, we remain vigilant in identifying opportunities, attracting top talent, and providing robust support for the company’s growth. By staying focused on our core business, expanding into related sectors, and strengthening our enterprise, we uphold these foundational commitments and consistent principles. We firmly believe that 2024 will be the year Kuncai sets sail and embarks on a new chapter of success.
At the start of the New Year, on behalf of the company’s Board of Directors, I wish all our employees a happy and prosperous New Year. I also extend my warmest wishes to your families—may you enjoy good health and every blessing. As we embark on this new year, let us join forces and work together to build an even brighter future!
Xie Bingkun
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