TOKYO, Japan – February 22, 2019 – ORIX Corporation (“ORIX”), Toray Industries, Inc. (“Toray”), and China Water Affairs Group Ltd. (“China Water Affairs”), which is engaged in water and sewage operation businesses in China, announced today that they will establish a joint venture corporation to manufacture and sell drinking water treatment facilities in China.
ORIX, Toray, and China Water Affairs formed a strategic partnership in June 2018 with the aim of working together in a wide range of water business activities in China*1. Through the establishment of the joint venture as one of the partnership’s concrete initiatives, it will incorporate Toray’s membrane filtration technologies to manufacture and sell drinking water treatment facilities capable of supplying water that is suitable for drinking straight from the tap. After obtaining a water products production and sales license from the Chinese government, the joint venture intends to utilize China Water Affairs’ water business know-how and networks in China to install facilities in public buildings such as schools and hospitals, as well as private buildings including hotels, office buildings, and apartment buildings.
Due to issues with supply water management at water purification plants and the deterioration of water supply facilities such as piping, tap water is not drunk directly in China. Instead, consumers customarily use water servers and household water purifiers, or bring tap water to the boil before drinking. In recent years, however, there has been rising demand for water that can be suitable for drinking straight from the tap.
China Water Affairs is a comprehensive water treatment company listed on the Hong Kong Stock Exchange. In addition to the operation and management of water supply and sewage facilities in regional cities across China, it also handles peripheral projects including infrastructure maintenance. China Water Affairs is primarily active in the south-eastern and central regions of China, including Jiangxi, Henan, and Guangdong Provinces, with operations in more than 60 regional cities in 13 provinces and 3 municipalities. The company provides comprehensive water purification and supply services ranging from the production of water treatment facilities to piping work, water supply, and maintenance.
ORIX established China’s first leasing company in 1981. Since then, it has utilized the experience and know-how cultivated in Japan and overseas to expand its financial service business in China. Toray established a water treatment membrane business in China in the 1980s, and launched its TORAYVINO series of household water purifiers in 2007. The company is currently in the process of expanding its lineup, focusing on faucet mount products.
Going forward, ORIX, Toray, and China Water Affairs will continue to engage in collaborations that maximize the resources, expertise, and superiority of all three companies.
