Yantai Huahai International Trade Co. ,Ltd.(hereinafter referred to as Huahai International) , established in Sep. 1996, is an integrated company group with fertilizers and chemicals producing and domestic & international trading. The main business scope of Huahai International includes producing, selling and importing & exporting of fertilizer products as well as chemicals and fertilizer raw materials. The total trade volume is over 2.6 million metric tons and the total turnover is more than 8 billion RMB per annum.

The main business products of Huahai International include MOP, SOP, MAP, DAP, SSP,TSP, complex fertilizer(NP and NPK), organic and inorganic complex fertilizer, water soluble fertilizer, urea, ammonia sulphate, ammonia chloride, imported sulfur, calcium chloride and so on.

Based on the development of Chinese fertilizer market in recent

years and the advantages of Company’s marketing network across the

whole country, Huahai International holds the principle of stable development and has established long-term strategic cooperation with some leading fertilizer enterprises both home and abroad.

In terms of potash fertilizer: the annual trade volume of MOP and SOP reaching 800,000 metric tons and 400,000 metric tons respectively make Huahai International ranked in top 10 of production and top 5 of trade in China. As for domestic produced potash fertilizer, Huahai International, with the annual proxy quantity of 400,000 metric tons of potash, is the largest first-grade agent of the national second largest potash producing plant- Ge Er Mu Zang Ge Potash Fertilizer Co.,Ltd; besides, Huahai International is the marketing agent of the national largest and second largest SOP manufacturing plant-Xinjiang Lop Nor Co., Ltd. and Qinghai CITIC Guoan and Huahai International also keeps good cooperation with other national SOP manufacturing plants. Regarding the imported potash fertilizer, Huahai International is one of the main agents of Russia’s SOP and has a lot of long-term cooperations with SINOCHEM, SINOAGRI, Heilongjiang Beifeng, Zhenong, Huinong and Russian potash plants in terms of MOP, also Huahai International establishes the stable supply relationship with many domestic medium and small fertilizer plants.

In terms of phosphate fertilizer: the company is the general agent of the SOP complex fertilizer produced by Holland Rose Chemical Group; the general agent of MOP complex fertilizer produced by Russia’s largest comprehensive fertilizer enterprise- EuroChem Group; the regional general agent of two brands DAP produced by Wengfu Group; the regional general agent of DAP and complex fertilizer produced by Yuntianhua, Hubei Xiangyun, Hubei Sanning, SINOAGRI and Liuguo Chemical. Huahai International has won a good reputation in the whole country and also has a good relationship with many plants in the export of DAP and MAP.

In terms of nitrogen fertilizer: Huahai International has good cooperation with many nitrogen plants and distributors in the marketing and exporting of urea, ammonia sulphate and ammonia chloride .

In terms of sulfur: Huahai International perennially imports sulphur from Russia, Middle East, Canada and Kazakhstan, and the annual trade volume reaches 200000-300000 metric tons.

In terms of exportation: the annual export volume of Huahai International is over 700,000 metric tons and the main export products include SOP, DAP, MAP,TSP, urea and ammonia sulphate.

In terms of production: Huahai International establishes the granular potash fertilizer plant in Manzhouli which has the annual capacity of 80,000 metric tons.

Huahai International further strengthened its cooperation with resource-oriented enterprises in 2014. For instance, Huahai International set up Ge Er Mu Zang Hua Granular Potash Fertilizer Co.,Ltd.(hereinafter referred to as Zang Hua), which is able to produce over 350,000 metric tons of granular potash fertilizer annually and started production in Dec.2014. At present, Zang Hua has become the national largest granular potash fertilizer producer and its quality is better than same type of products either domestic or internationally made. Taking advantage of the rich resources, advanced technology and perfect marketing network, Zang Hua enjoys great potential and has been regarded as one of the high quality enterprises which is worth the takeover premium by Zang Ge Potash Fertilizer Co.,Ltd. which will be listed in stock market soon.

Huahai International cooperates with Hubei Xiangyun Group (a large phosphate complex fertilizer enterprise and national largest MAP producer) and Hubei Wanfeng Chemical Enterprise to set up a project which is able to produce 500,000 metric tons of complex fertilizers, organic and inorganic complex fertilizers as well as water soluble fertilizers. What’s more, the local government also allocates the project a rich phosphate rock mine and the project came into production in Oct.2014.With its operation being in good condition, it is rated as “High Technology Enterprise of Hubei Province” and listed together with Xiangyun Group. By the end of 2017, Huahai International has completed the share exchange between the joint venture company and Xiangyun group. Xiangyun group ranks 16th in IPO and is the first listing project of hubei provincial government. It is expected to be listed on the main board of Shanghai stock exchange before the end of 2022.

The company also collaborates with Ge Er Mu Zangge Incorporated Company to establish a project by joint venture which has the annual capacity of 1 million metric tons of high purity SOP. It is scheduled to be operational in 2022 By virtue of Zangge Incorporated Company’s huge material superiority and foreign patented technologies, the company will produce water-soluble SOP with highest purity. The total investment of this program is up to 2.5 billion RMB and after the completion, it will become the second largest SOP producer right after Xinjiang Lop Nor Co., Ltd. and the largest full water-soluble high purity SOP producer.

The two potash and complex fertilizer producing projects completed in 2014 and the SOP producing project will start in 2018 have satisfied the basic conditions of being listed in stock market. That’s to say Huahai International has transformed from a trade-oriented company into a resources producing enterprise.

In 2018, the multi-year cooperation between huahai international and yuntianhua group, the second largest fertilizer producer in the world and the largest in China, was further deepened. Yuntianhua group's listed company: Yuntianhua shares has introduced Huahai International as a strategic cooperative shareholder, and the listed company has contributed a part of the shares, the two sides have reached a good cooperation and built a large-scale phosphate compound fertilizer project of more than 700,000 tons and a organic fertilizer and water-soluble fertilizer project of 300,000 tons in yunnan.This project has a very good prospect due to the complementary advantages of both sides, and has become a successful example of the mixed ownership reform of ultra-large state-owned enterprises.

In 2018, Shandong supply and marketing cooperative held shandong provincial agricultural materials association congress, Huahai International was elected as the President unit of shandong provincial agricultural materials association which directly under the provincial supply and marketing cooperative by more than 80 leading enterprises of agricultural materials management , fully replaced the function of agricultural materials company in shandong province, and operated agricultural base platform project in shandong province under the full support of the provincial government and provincial supply and marketing cooperative .

In March 2019, Huahai International established Shandong Huihuanong Ecological Agricultural Technology Co., Ltd. and becoming the largest joint venture of Huitongda agricultural materials platform invested by Alibaba . In April of the same year, Huahai International and Huitongda Network Co., Ltd. jointly established Zhanjiang Huijia Network Technology Co., Ltd.

The joint venture agricultural materials company of Yantai Huahai International Trade Co., Ltd and Xiamen International Trade Co., Ltd was formally established on May 11, 2021. Xiamen International Trade Co., Ltd is the second largest company of Fujian Province and ranks 171 in the world's top 500 companies, sales reached 620 billion yuan by the end of 2021. This joint venture company is the only company that Xiamen International Trade Co., Ltd involved in the agricultural industry, and also the mixed system reform enterprises that approved by Xiamen SASAC to establish. The two sides strong union and expand the agricultural material market jointly.

Huahai International practices the philosophy of honesty, diligence, efficiency, innovation, service-oriented, cooperation and win-win and has more than 200 employees at the company headquarters with college education, including 50 undergraduates, 5 graduates( 1 Russian Native) and have rich work experiences, thus Huahai International has formed a team of efficiency, diligence and with realistic spirits.