Pengyuan Plastic: Invests 208 Million Yuan in Intelligent Recycled PE Project with an Annual Output of 100,000 Tons of Recycled Pellets

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Recently, the intelligent upgrading project of Yuncheng Pengyuan Plastic Industry Co., Ltd. in Yuncheng Economic Development Zone is under rapid construction.A benchmark enterprise in China’s recycled PE recycling sector, Pengyuan Plastic kicked off the project in May 2025 with a total investment of 208 million RMB. The project includes a new 30,000 m² double-layer intelligent workshop and the introduction of 20 fully automatic production lines.Once fully operational, the facility will boast an annual capacity of 100,000 tons of recycled plastic pellets and process 126,000 tons of waste plastic every year.

Yuncheng Pengyuan Plastic Industry Co., Ltd. was founded in March 2019 and is located in Yuncheng Economic Development Zone, Heze City, Shandong Province. The enterprise has been engaged in renewable resource processing since 2002 and is a physical manufacturer focusing on resource recycling.Specializing in the processing of waste PE plastics and modified recycled PE pellets, Pengyuan Plastic has become an authorized supplier for multiple listed companies and large industrial groups.

However, with the development of the industry, the company was plagued by prominent development bottlenecks, including a shabby and disorderly production environment and obsolete production lines. Organized by Yuncheng Economic Development Zone, the enterprise visited advanced manufacturers in southern China to draw on their mature experience and formulated a scientific intelligent upgrading and transformation plan.To fully leverage its late-mover advantages, the company voluntarily demolished the original factory buildings and 13 outdated production lines. All newly built workshops and newly purchased equipment comply with the latest industry standards. Energy-saving, flame-retardant and eco-friendly cladding panels are adopted for the exterior walls of the plant, fully practicing the green and low-carbon development philosophy in all aspects of operation.

At the construction site of Pengyuan Plastic’s intelligent upgrading project, over 40 workers are operating cranes, straight boom lifts, aerial work platforms and other machinery to install load-bearing slabs on the second floor of Workshop 1, which covers 20,000 square meters. Construction of the 7,600-square-meter Workshop 2 is moving forward steadily at the same time. Local reports from Yuncheng County show that Pengyuan Plastic has successfully completed the second expansion of its production base. Its upstream and downstream industrial chains have been further extended, and its production technologies as well as energy consumption management capabilities have reached top-tier standards in the industry.

Once the project is put into operation, it will deliver remarkable economic and ecological benefits. According to Wang Fusheng, General Manager of Yuncheng Pengyuan Plastic Industry Co., Ltd., the project can achieve an annual output value of 600 million yuan and annual tax contribution of 72 million yuan. In terms of ecological gains, it will save 378,000 tons of crude oil and cut carbon emissions by 227,000 tons each year, truly realizing a win-win situation between ecological and economic benefits.

Following comprehensive technical transformation and upgrading across the plant, the enterprise’s production energy consumption has been cut by approximately 45% compared with previous levels, bringing simultaneous improvements in both product quality and production capacity.The factory is equipped with state-of-the-art waste gas treatment facilities nationwide. Meanwhile, traditional outdated machinery has been replaced by digital intelligent equipment, enabling dual progress in green development and smart manufacturing.

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This article is sourced from the WeChat Official Account: Waste Plastics Insight