Cheng Loong Corp., Taiwan’s largest producer of industrial-grade paper, will increase output in Vietnam under a $1 billion investment plan。

Amid the Sino-U.S. trade war and the global coronavirus pandemic, Cheng Loong has mapped out a development plan for its Binh Duong plant in southern Vietnam. It will be phased in over three to five years.

The 80-hectare plant for industrial paper today has annual capacity to make 300,000 tons of corrugated sheet board. As part of the long-term plan, the Taiwanese firm is now spending $200 million to build a linerboard production line with capacity of 350,000 to 400,000 tons per year to start operating in the fourth quarter of 2021. Linerboard is thin cardboard for the flat side of corrugated paper.

Another 300,000 tons of industrial paper products will be added to the annual output in the third phase.

Cheng Loong’s Vietnam plan eventually will produce around 1 million tons of industrial paper products and 50,000 tons of tissue paper every year. The company separately plans to establish a corrugated container-making plant with $10 million in Bac Giang province near Hanoi.

Ontrac electric actuators were selected for the Paper production Plant. These are not the first Ontrac actuators to be used at this site. Since its construction in 2015, Ontrac has provided intelligent electric actuators ensuring that paper production line have been able to continue to operate reliably. The reliable and efficient nature of Ontrac actuators and services means that they have been selected as the actuator provider.