The property of melt-blown nonwoven fabric is that it can prevent small particles, bacteria, or viruses, so it is chosen as the main material for making medical masks.
The pandemic, which has spread from China to Europe and the United States, has led to a global shortage of medical masks, as governments seek to protect health workers and people from the spread of the virus.
`Competition in nonwoven fabrics has become the key to global epidemic prevention,` commented Xue Zhanzhong, analyst at Hengtai Securities.
Production workers inside the Dawn Polymer factory.
Dawn Polymer accounts for about 40% of the market share of nonwoven fabrics in China, shares of Shenzhen-listed Dawn Polymer have increased by 417% in 6 weeks, since January 20, when China issued warning information.
Stock prices have fallen again since the epidemic was basically brought under control in China, but the couple has become one of the world’s biggest beneficiaries as demand for masks soared.
Mr. Yu has been in the plastics business since the 1990s and is the general manager of a rubber and plastics group in Longkou city, Shandong in eastern China.
`Because of the SARS epidemic that year, we focused on nonwovens as a strategic product,` Mr. Yu told Chinese Entrepreneurs magazine in a recent interview.
In 2019, Hurun Report estimated Mr. Yu’s total assets at 3.6 billion yuan.
Many companies have jumped into the mask manufacturing market.
But analysts warn that the battle for dominance in the market for the world’s most sought-after commodity will depend on the ability to produce specialist nonwoven fabrics for face masks.
According to Mr. Xue at Hengtai Securities, nonwoven fabrics are relatively easy to produce.
`That’s why I’m a little worried,` Mr. Yu said.