RICHMOND, Va. (AP) -- A Chinese paper maker is planning to invest $2 billion over five years to open a facility in Chesterfield County, creating 2,000 jobs, Gov. Terry McAuliffe announced Wednesday.
The announcement regarding Shandong Tranlin Paper Co. Ltd. is the latest in a series of China-related economic events in recent days. McAuliffe on Tuesday announced that Virginia is preparing to send its first shipment of chicken to China following a seven-year ban and last week he welcomed Air China's nonstop inaugural flight at Washington Dulles Airport.
The company, using a newly formed U.S. subsidiary called Tranlin Inc., plans to open its first U.S. advanced manufacturing operation on an 850-acre campus south of Richmond. It will make paper products from organic agricultural field waste such as wheat straw and corn stalks, as well as organic fertilizer made by converting the residuals from its paper manufacturing process.
Secretary of Agriculture and Forestry Todd Haymore said the company's use of field waste to make paper products could open up a new $50 million a year market for field waste products.
The company founded in 1976 sells products throughout China and exports to the U.S., Europe, Japan and South Korea. Its products include refined natural pulp, natural pulp, natural culture paper, natural household paper, food and medical packaging box and organic fertilizers.
McAuliffe approved a $5 million grant from the Governor's Opportunity Fund for the project. The company also may be eligible to receive a performance grant, subject to approval by the General Assembly. Vince Barnett, vice president of communications and promotions at the Virginia Economic Development Partnership, said the total potential amount of state incentives for the company could be about $31 million.
Virginia successfully competed against several states for the project.