After last year's 7.9-magnitude earthquake in Sichuan province, building materials manufacturers have found the Southwest Chinese market promising and started to establish a foothold there. Wuhu, Anhui province-based Conch Profile & Science Co. Ltd. is following the trend and making a move.

The publicly traded company recently announced that it will jointly invest 500 million yuan with its subsidiary Yingde Conch Profiles Co. Ltd. on the 80,000-ton Chengdu production base. Conch will hold 90 percent of the new plant's stake.

The company expects to finish the 40,000-ton first phase and start production by the end of 2010. The investment capital includes Conch's own fund as well as bank loans.

In the announcement, Conch said the new plant will take advantage of the ample PVC resin resources in that region and help increase market share. The company recognizes the growing local competition, but asserts confidence in the new operation.