Conventus Polymers LLC, a distributor of high-performance engineering thermoplastics, has established a Chinese subsidiary, Shanghai Conventus Polymers New Materials Co. Ltd., based in Shanghai. The new subsidiary will offer the company’s broad portfolio of products to processors and end users throughout the Chinese provinces. The expansion into China is part of the company’s overall business strategy to grow into key geographic regions.
Headquartered in Parsippany, NJ, Conventus has been doing business in China for several years. Establishing a legal entity strengthens its position in the Chinese market and allows the company to serve both local converters and US-based OEMs that it currently supports. Conventus sells the same global portfolio of products in China, including specialty nylons, polysulfones, thermoplastic vulcanizates (TPVs), and custom compounds.
“Our business is growing quickly, and with our extensive product portfolio of specialty engineering plastics, we are firmly positioned as a strategic supplier,” said John Jorgensen, President of Conventus Polymers. “This important move into China signals our further commitment to key multinational OEMs.”
The Chinese initiative will expand Conventus’ reach into existing strategic markets such as electrical/electronics, industrial, and healthcare, according to Jorgensen. With a legal operating entity in China, Conventus can offer its international customers import and export capabilities, local inventory and warehousing, local currency transactions, and Delivered Duty Paid (DDP) Incoterms. Conventus will handle all exporting, importing, insurance, customs clearance, duty costs, and freight from port to warehouse to the customer.
To service the Chinese market, Conventus has established several warehouses close to its customers in East and South China. The company has four compounding partners in China, each specializing in different areas to offer a full portfolio in addition to quick turnaround times and minimal freight costs. Conventus will benefit from significantly lower compounding conversion costs, which will make its products more competitive in the region. Conventus has hired a team of three people to provide local sales coverage. The team is expected to grow in the near future.