ZK International Wins a Three Year Procurement Bid to Upgrade the Municipal Water Infrastructure with Fuzhou Water Supply Group
WENZHOU, China, March 8, 2021 /PRNewswire/ -- ZK International Group Co., Ltd. (Nasdaq: ZKIN) ("ZKIN", "ZK International" or the "Company"), a designer, engineer, manufacturer, and supplier of patented high-performance stainless steel and carbon steel pipe products that require sophisticated water or gas pipeline systems, today announced that the Company has been chosen as a key supplier for Fuzhou municipal water supply infrastructure upgrade program and entered into a three-year Strategic Procurement Agreement with Fuzhou Water Supply Group Co., Ltd. ("Fuzhou Water Group").
Fuzhou is the capital of Fujian province. As one of the largest cities in Fujian province, China, it has a total estimated population of 7,740,000 as of 31 December 2018. In 2015, Fuzhou was ranked as the 10th fastest growing metropolitan area in the world by Brookings Institution. In 2018, the municipal government issued a regulation to immediately begin upgrading the existing water supply infrastructure that serves approximately 310,000 households, increasing the use of stainless steel piping and decreasing the use of plastic and galvanized piping in the water supply infrastructure, due to the potential contamination plastic and galvanized piping material may cause to the water. To conform to the new regulation, Fuzhou Water Group organized a tender where leading stainless steel pipe manufacturers in China were invited to bid for the next year's stainless steel pipe procurement program.
Fuzhou Water Group started the process of accepting bids and assessing each bid by various criteria such as production quality, manufacturing capacity, delivery period, and financial liquidity. Of all the companies that were invited to participate in the bidding program, ZK International made it to the final approved supplier list. Following the new regulation, Fuzhou Water Group is mandated to use stainless steel pipe for its future water pipe construction projects and pipe replacement projects.
Mr. Jiancong Huang, Chairman of ZK International, commented, "We are pleased to be selected as a key supplier for the municipal water infrastructure upgrade program amongst several of our competitors during this bidding process as well as to begin a new working relationship with Fuzhou Water Group. We have positioned our Company with the long-term view to take advantage of the various government legislation to upgrade and improve the various water infrastructures across China. We look forward to cultivating our relationship with their team and being part of the new government regulated plans in the Fujian province. With this three-year procurement agreement, along with other key pending contracts and agreements, we are excited that this agreement will allow us to grow our revenues and profitability into 2021."
About Fuzhou Water Supply Group Co., Ltd.
Fuzhou Water Group, established in 1954, was the first water enterprise in Fuzhou to engage in the comprehensive business of water supply and environmental treatment. Its business mainly focuses on water supply and drainage, wading engineering and environmental management. Fuzhou Water Group has approximately 1,300 employees and a consolidated total assets of approximately 1.7 billion yuan. Fuzhou Water Group delivers water to 1.6 million population on a daily basis.
About ZK International Group Co., Ltd.
ZK International Group Co., Ltd. is a China-based designer, engineer, manufacturer and supplier of patented high-performance stainless steel and carbon steel pipe products that require sophisticated water or gas pipeline systems. The Company owns 28 patents, 21 trademarks, 2 Technical Achievement Awards, and 10 National and Industry Standard Awards. ZK International is preparing to capitalize on the $850 Billion commitment made by the Chinese Government to improve the quality of water, which in its current supply state is 70% unfit for direct drinking. ZK International is Quality Management System Certified (ISO9001), Environmental Management System Certified (ISO1401), and a National Industrial Stainless Steel Production Licensee that is focused on supplying steel piping for the multi-billion dollar industries of Gas and Water sectors. ZK has supplied stainless steel pipelines for over 2,000 projects, which include the Beijing National Airport, the "Water Cube" and "Bird's Nest", which were venues for the 2008 Beijing Olympics. Emphasizing superior properties and durability of its steel piping, ZK International is providing a solution for the delivery of high quality, highly sustainable, environmentally sound drinkable water to not only to the China market but to international markets such as Europe, East Asia and Southeast Asia.
For more information please visit www.ZKInternationalGroup.com. Additionally, please follow the Company on Twitter, Facebook, YouTube, and Weibo. For further information on the Company's SEC filings please visit www.sec.gov.
Safe Harbor Statement
This news release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and as defined in the U.S. Private Securities Litigation Reform Act of 1995. Without limiting the generality of the foregoing, words such as "may," "will," "expect," "believe," "anticipate," "intend," "could," "estimate" or "continue" or the negative or other variations thereof or comparable terminology are intended to identify forward-looking statements. In addition, any statements that refer to expectations, projections or other characterizations of future events or circumstances are forward-looking statements. These forward-looking statements are not guarantees of future performance and are subject to certain risks, uncertainties and assumptions that are difficult to predict and many of which are beyond the control of ZK International. Actual results may differ from those projected in the forward-looking statements due to risks and uncertainties, as well as other risk factors that are included in the Company's filings with the U.S. Securities and Exchange Commission. Although ZK International believes that the assumptions underlying the forward-looking statements are reasonable, any of the assumptions could prove inaccurate and, therefore, there can be no assurance that the results contemplated in forward-looking statements will be realized. In light of the significant uncertainties inherent in the forward-looking information included herein, the inclusion of such information should not be regarded as a representation by ZK International or any other person that their objectives or plans will be achieved. ZK International does not undertake any obligation to revise the forward-looking statements contained herein to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.
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Phone: +1 718-213-7386
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SOURCE ZK International Group Co., Ltd.
Released March 8, 2021