A Sino-German joint venture to produce bulk continuous filament (BCF), a kind of carpet yarn, went into production in Shanghai on November 12, the first BCF producer in China.

The Hua Yuan Nylon Company is funded by BASF and the Huan Yuan Group in Shanghai costing some 70.4 million US dollars for the first-phase project. BASF funds make up 70 percent of the project.

The joint venture is now able to produce 7,000 tons of BCF every year. Investment is planned to increase to 200 million US dollars in the future, with an output of BCF increasing to 20,000 tons.

The joint venture will also export its products to Australia, New Zealand, Japan, the Republic of Korea, and other countries and regions. BCF accounts for more than 70 percent of yarns used for making carpets worldwide.

BASF has so far funded 10 companies in China and had as much as one billion German Marks in sales in 1998.