Citing the management, the analysts note in their Sept 21 report that China Sunsine can reduce annual production costs by RMB30 million when the new mercaptobenzothiazole line is in full ramp-up.
CGS-CIMB analysts Kenneth Tan and Ong Khang Chuen have upgraded their call on China Sunsine Chemicals from "hold" to "add", given how the chemicals player is seen to enjoy stronger demand ahead.
At a recent visit to the company's plants, the analysts observed that it has new production lines, including those based on in-house technology. Key machinery has already been installed and is undergoing testing, with commercial production likely in early next year.
