# Sinopec and NHU capitalize on the feed industry with $471 Mln

> Zhejiang NHU and a Sinopec branch signed a letter of intent to form a 50:50 joint venture to build methionine production facilities in Ningbo, Zhejiang, with total investment of CNY 3 billion ($471 million). The joint venture's registered capital is proposed at CNY 900 million, paid in cash.

- Date: 2022-01-04 · published 2022-01-04T12:00:00.000Z
- Category: trade · region China · magnitude low
- Page: https://feedsoft.ai/events/43065-sinopec-and-nhu-capitalize-on-the-feed-industry-with-471-mln
- Commodities: [Methionine](https://feedsoft.ai/c/METH.md)

## Why it matters

New methionine capacity planned for China adds to global supply of this feed amino acid over the coming years, which could ease prices for poultry and swine feed formulators. The project is still at letter-of-intent stage, so near-term price impact is limited.

## Read by commodity

- METH: bearish ▼

## Sources

- agripost.cn: https://www.agripost.cn/2022/01/04/sinopec-and-nhu-capitalize-on-the-feed-industry-hatch-a-strong-player-of-methionine/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.