A small company in Hangzhou, east China's Zhejiang has transformed itself from obscurity to a world-leading supplier of sealing adhesive raw materials within five years, thanks to its efforts in persistent technological research and innovation.
Chen Zou, the founder of Hangzhou Henkel New Materials Technology Co., Ltd., leads a team of 22 employees, with 16 of whom are frontline workers.
When he started his business, Chen said, the adhesive production relied entirely on imported core materials, with prices skyrocketing from 20,000 to 80,000 yuan (around 2,780 to 11,127 U.S. dollars) per ton, while often facing supply shortages.
Under such circumstances, many similar small companies were forced to halt production, making Chen realized that the sustainable development of he company relies on self-reliance and technological innovation.
So he invested his savings to purchase experimental materials and recruited two PhD graduates in materials science to form a research and development team. He has put in one million yuan (around 139,000 U.S. dollars) into research and development.
Meanwhile, to encourage and support technological innovation, the local government also provided the company with one million yuan in subsidies.
After five years of perseverance, the company successfully developed a product that outperforms imported materials in airtightness, high-temperature resistance, and service life, and it is priced at only half that of imports.
The product fills a crucial gap in the domestic adhesive manufacturing supply chain, empowering many small adhesive companies to become self-sufficient.
"We no longer fear that foreign companies will withhold supplies or charge exorbitant prices. We can confidently proceed with our operations," said Fang Heng, a client of the company.
In March this year, the small company attracted the attention of a procurement manager from a leading global adhesive company based in the United States.
"In the past, we relied on imported adhesive raw materials, but now I have become their supplier, which makes me feel very proud," Chen said.
The small company's laboratory is now developing adhesives for cutting-edge fields such as drones and robotics.
Last year, the company also purchased a building in a science and technology innovation park dedicated to future research and innovation.
"I always feel a strong sense of urgency. Today, you may be leading ahead, but tomorrow you could be surpassed. Continuous innovation is essential for survival in this industry," Chen said.
China's small company emerges as global leader in sealing adhesive materials through innovation
