'Lotusoft' tissue products are manufactured in Shanghai at a paper mill which began operation in August 2006. High quality tissue paper is produced on a new state-of-the-art crescent former tissue machine with an annual capacity of 30,000 metric tons and an operating speed of 2,000 meters per minute.

Sophisticated equipment located at the mill site convert tissue rolls into the following tissue products: facial tissue, toilet tissue, handkerchief tissue, napkins, and hand towels. Premium quality tissue products are marketed domestically and internationally under the brand name 'Lotusoft'.

Plans are underway to adopt advanced recycling and de-linking technology to manufacture tissue paper from recovered paper fibers in an environmentally-friendly manner. After the expansion plans are completed, 'Lotusoft' will have production and converting capacity of 150,000 tons per year.