Lee & Man Paper sets August 2027 start for Guangxi pulp, fluff pulp and tissue mill

Lee & Man Paper expects its Guigang plant in Guangxi, with 750,000 tonnes a year of pulp capacity and 300,000 tonnes of tissue capacity, to start operating in August 2027, adding fluff pulp for products such as baby diapers and sanitary napkins, its chief executive said in an interview published on 5 November 2026. Attributable net profit for the first half of 2026 rose 69.3% to USD 175m (HKD 1,373m), which he attributed to recovering containerboard demand and better tissue margins. The dividend payout ratio stays at about 35% of net profit.

Why this mattersFluff pulp output in Guangxi would give Lee & Man a domestic hygiene feedstock in a Chinese market that has relied largely on US imports.

• Guigang, Guangxi plant: 750,000 tonnes pulp and 300,000 tonnes tissue capacity, start-up expected August 2027
• The plant adds fluff pulp, which China has largely imported from the US, with few domestic producers
• H1 2026 attributable net profit rose 69.3% year on year to USD 175m (HKD 1,373m)
• Malaysia (1.4m tonnes) and Vietnam (550,000 tonnes) bases are running at high utilisation
• Group targets raising tissue to 20%-30% of group revenue over coming years
• Dividend payout ratio held at about 35% of net profit

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