HANGHAI, February 1, 2026 — Shanghai Petrochemical Company Limited (Sinopec Shanghai Petrochemical Co., Ltd.) announced today the mechanical completion of Phase I of its 30,000-ton-per-year large-tow carbon fiber project in Inner Mongolia, reaching the milestone one month ahead of schedule. The project has now transitioned to the commissioning and production preparation phase.

This initial phase includes two production lines with a combined annual capacity of 6,000 tons and is expected to begin operations in the second quarter of 2026.

The project, which broke ground in July 2025, utilizes Shanghai Petrochemical's proprietary large-tow carbon fiber technology and benefits from Inner Mongolia's abundant green power supply. It will produce large-tow carbon fiber in 48K and 60K specifications, providing essential raw materials for the growing wind power and other new energy sectors.

Full project completion is scheduled by the end of 2027, after which Shanghai Petrochemical will become China’s largest large-tow carbon fiber producer in terms of production capacity.

The project is executed by Inner Mongolia New Jinshan Carbon Fiber Co., Ltd., a majority-owned subsidiary of Shanghai Petrochemical. Building upon Sinopec’s original large-tow carbon fiber technology, the project incorporates continuous innovation and optimization in process design and equipment, achieving international-leading standards in safety, environmental sustainability, and reliability.

A supporting 60,000-ton-per-year precursor production facility will also be constructed within Shanghai Petrochemical’s existing plant area in Shanghai, with construction expected to commence in the first half of 2026.