June 4, 2025 – Chengdu’s bioplastics industry landscape has gained a significant boost with a major foreign investment project announced by Indonesia’s Indoray Group. During a recent visit to the city, Executive Director Goh Boon Seng revealed plans to establish a biodegradable plastics production hub in Chengdu, marking a pivotal strategic move for the group’s expansion in western China.
As a global leader in biopolymer materials research and development, Indoray’s subsidiary RWDC Industries has drawn attention for its cutting-edge Solon® PHA (polyhydroxyalkanoate) technology, which holds international acclaim for its fully degradable properties. Widely applicable across packaging, medical, and other sectors, the material’s market potential is being closely watched by industry observers, including those in the color masterbatch sector.
The investment initiative emerged from Chengdu’s innovative Investment Gaiwancha government-enterprise engagement mechanism. During a recent thematic symposium, both parties delved into detailed discussions on project site selection, policy support, and other implementation specifics. A representative from Chengdu’s Investment Promotion Bureau emphasized the city’s commitment to providing comprehensive support for the project’s smooth launch.
This move is not Indoray Group’s first foray into Chengdu. Data shows that through its Singapore-based SG Global Development Group subsidiary, the group has accumulated investments exceeding $2 billion in the city, spanning high-end residential development, commercial real estate operations, and other sectors. In 2024 alone, the group contributed approximately $30 million in foreign direct investment to Chengdu.
Chengdu’s continuously improving business environment has been a key driver of foreign investment inflows. This year, initiatives such as the “Foreign Investment Roundtable” have propelled the city’s foreign capital inflows to a 59.89% year-on-year increase, solidifying its position as the top destination for foreign investment in central and western China. The Investment Promotion Bureau has pledged to establish a dedicated task force to accelerate the new project’s launch and production.
Industry analysts note that the project will enhance Chengdu’s bioplastics industry chain and contribute to the development of green industries in western China. With escalating global environmental standards, the biodegradable plastics market is poised for exponential growth, making Chengdu’s early strategic layout in this field particularly prescient.