Shandong Zhonglian Chemical is a specialized industrial platform integrating industrial investment, channel operation and high-end manufacturing in China’s silica industry. Since its establishment in 2011, through business restructuring and strategic iteration, it has gradually formed an industrial pattern featuring separation of production and marketing, north-south coordination, and domestic-overseas linkage, and realized the leap from a trading firm to an industrial operator.

Founded in 2011, the company initially focused on the production and distribution of a wide range of chemical products. Along with the refinement of industry division and strategic upgrading of the enterprise, the company divested non-core businesses through restructuring and organizational adjustment, channeled all resources to the silica segment, and transformed into a professional distribution and industrial holding platform. Leveraging its long-established advantages in channels, supply chain integration and customer service system, it has rapidly grown into a core service provider in China’s silica distribution sector, while continuously expanding into production links and high-end applications to build competitive strengths across the entire industrial chain.

The company has established a multi-level industrial entity system based on the holding + collaboration model. With clear division of responsibilities and coordinated operations among all entities, it forms a complete business closed loop covering production, distribution and overseas markets:

1. Core Operation Hub: Shandong Zhonglian Chemical Co., Ltd. As the group headquarters and core governance entity, it undertakes channel operation, brand management, industrial investment and technology R&D for all silica product lines, serving as the coordination center of the entire industrial layout. Positioned as a full-scenario silica service provider, it not only responds to the diversified demands of downstream customers, but also coordinates the integrated allocation of production, logistics and technical resources across the industrial chain.

2. Southern Production Base: Zhongqi Guangdong Silicon Materials Co., Ltd. As the company's core collaborative production base located in Guangdong's industrial cluster, it undertakes R&D and manufacturing of basic production capacity, acting as the core southern pillar of the company's product supply system. Close to South China's application markets and coastal export ports, it mainly ensures capacity fulfillment for local orders in South China and basic export orders.

3. Overseas Market Front: Shandong Zhonglian Chemical Co., Ltd. – Exclusive Overseas Sales Company As the front-end window connecting to the global market, it is responsible for overseas customer development, channel maintenance, order fulfillment and brand promotion. Focusing on the global operation of silica products, it realizes direct alignment between domestic production capacity and overseas demand, and significantly improves response efficiency and service depth in overseas markets.

4. Northern Production Base: Zhongqi Shandong Silicon Materials Co., Ltd. To further improve its national capacity layout and gain proximity to the northern market and northern port hubs, the company established Zhongqi Shandong Silicon Materials Co., Ltd., in which Shandong Zhonglian Chemical holds a 60% controlling stake. The base is positioned as a northern regional production center and high-end export manufacturing base: domestically, it covers local markets in northern China such as fire-resistant glass, construction materials and industrial applications, shortening delivery radius and reducing logistics costs; internationally, it fulfills silica orders from high-end markets including Japan, South Korea, Europe and North America, meeting global high-end quality requirements. With this, the company has officially formed a north-south dual base capacity pattern, achieving efficient coverage of the national market.

The company's overall industrial layout is built around three core principles: deepening market segments, improving efficiency through collaboration, and upgrading to high-end segments, so as to build differentiated competitive advantages:

1. Separation of production and marketing for efficiency through professional division By stripping production functions from the headquarters, focusing on distribution and management, and partnering with professional production bases, it realizes the professional division where the distribution end expands market breadth, and the production end deepens technical depth. It gives full play to the channel network, capital turnover and customer service advantages of the distribution platform, as well as the manufacturing technology, cost control and capacity scale advantages of production bases. The two ends work in synergy to lift overall operational efficiency.

2. North-south coordination for nationwide market coverage The Guangdong base in the south is close to South China's industrial clusters and Southeast Asian shipping routes, while the Shandong base in the north is adjacent to northern application markets and shipping routes to Japan, South Korea, Europe and North America. The two bases complement each other and deliver orders in staggered peaks, effectively reducing cross-regional logistics costs and delivery lead times, and fully covering major domestic industrial belts and key global export markets.

3. Domestic-overseas linkage for two-way access The combination of domestic production capacity + overseas sales subsidiary on the one hand promotes cost-effective domestic silica products to the global market and broadens demand boundaries; on the other hand, it simultaneously connects with overseas cutting-edge technical standards and high-end application requirements, which in turn drives the upgrading of domestic product formulas and process optimization, forming a positive cycle of going global – feedback – upgrading.

While consolidating the distribution and production of basic product categories, Shandong Zhonglian Chemical actively expands into downstream high-value-added applications and deploys production capacity for high-end functional silica, driving its transformation from a trade-oriented company to a technology + manufacturing-oriented enterprise, with a core focus on two segmented tracks:

1. Zhongqi · High-End Food-Grade Silica Zhongqi Guangdong Silicon Materials is deeply engaged in the high-end food-grade silica segment, focusing on high-purity functional silica materials. The products comply with domestic and international food contact material safety standards such as GB and FDA, and are widely used as anti-caking agents, flow aids and thickeners in food processing. With stable product quality and complete compliance certifications, the company has successfully entered the supply chain of world-leading food enterprises including Nestlé, and established a solid market reputation and customer base in the high-end food-grade silica field.

2. Zhonglian · High-End Industrial-Grade Fumed Silica Targeting the performance pain points in the construction fire-resistant glass industry, the company independently develops, manufactures and markets upgraded fumed silica dedicated to fire-resistant glass. With a purity of over 99.99%, large specific surface area and excellent dispersion performance, the product can disperse rapidly and uniformly in fire-resistant liquid systems. It is custom-developed for grouted insulating fire-resistant glass scenarios and compatible with two-component production processes. Featuring core strengths such as high light transmittance, strong weather resistance and stable high-temperature thermal insulation, it complies with domestic and international fire glass standards including GB, EN and ISO, and has quickly entered the construction fireproof materials segment, completing the industrial-grade product matrix.

In addition, the company has simultaneously rolled out mass production lines for nano-scale silica, covering multiple product forms such as nano silica sol, nano silica powder and silica anti-blocking agents, which can be applied in high-end coatings, electronic materials, new energy additives and other fields. This further opens up high-value-added market space and drives the product mix to upgrade from low-end general-purpose products to high-end customized products.

Through the architectural design of distribution platform + holding-based production + overseas channels, the company combines agile market responsiveness with control over core production links, and has built a clear competitive barrier amid the trend of high-end and centralized development in the silica industry.

Going forward, the company will continue to deepen its focus on the core silica track. On one hand, it will strengthen north-south capacity synergy and overseas channel penetration to expand market coverage. On the other hand, it will continuously increase R&D investment and mass production of high-end segments such as food-grade, pharmaceutical-grade and high-end industrial-grade silica, and gradually grow into a professional silica industrial group integrating production and sales operation, R&D investment and global layout.