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Doublestar is located in Shandong province, but they are already a customer:
The use of NPCC provides a 10-20%
overall improvement in performance measured by increased
traction wave resistance, tear resistance, break elongation,
tensile strength and aging resistance. In addition to producing a
better functioning tire, the use of NPCC reduces the cost of
manufacturing tires by about 3%. ShengdaTech’s main
customers in tire industry include the top tire manufacturers,
such as Triangle (#1 in China, and #12 in the world), Double Star
Tire, and Zhaoyuan Liao. These manufacturers are also located
in the same province as ShengdaTech, Shandong Province.
http://www.shengdatechinc.com/files/6_12_07_ShengdaTech_profile%20FINAL.pdf


Do you have the marketing personnel and relationships to begin the “design in” selling process with international tire OEMs such as Michelin?

A: As a high-tech new functional material, NPCC can enhance the tires resistance to wear and elongation that the other fillers can not replace. The tire manufacturers usually have their own steady formulas which have been used for many years making manufacturers cautious to include any new material. However, the world’s second-tier tire manufacturers have shown interested in NPCC influenced by Chinese domestic tire manufacturers who use NPCC. We plan to approach these international companies in the future. Our plan is to win 1-2 international brands in the following 6-12 months.

17. What is the value proposition to the tire manufacturer in terms of a unit of output? If NPCC is a partial substitute for carbon black, then what is the incremental savings to a tire manufacturer?

A: As the different formulas we provide to our customers, the improvement to performance of tire is different accordingly. In general, the use of NPCC provides a 10-20% overall improvement in performance. We take the formulas provided to by one of our customers -.

Modulus (300% MPA) increase up to 13%
Tear resistance increase up to 50%
Break elongation increase up to 20%
Abrasion loss decrease up to 20%
Tensile strength increase up to 18%

In the formulas of tire, each filler has its own advantage. However, comparing with these fillers, NPCC has its unique functional improvement to its application. Simultaneously, we estimate NPCC can save the tire manufacturer about 3% cost if NPCC is substitute for 10 par carbon black.

http://google.brand.edgar-online.com/EFX_dll/EDGARpro.dll?FetchFilingHtmlSection1?SectionID=5802055-57971-73279&SessionID=rEJiWeQJI-jtWp2