Wednesday, February 27, 2008

Top China plastic bag maker closes amid green drive

BEIJING (Reuters) - China's largest plastic bag maker has closed following a state-led environmental campaign discouraging plastics use, Xinhua news agency said on Tuesday.

China launched a surprise crackdown on plastic bags in January, banning production of ultra-thin bags and forbidding its supermarkets and shops from handing out free carrier bags from June 1.

Suiping Huaqiang Plastic Co, owned by Guangzhou-based Nanqiang Plastic Industrial Ltd. and employing 20,000 workers stopped production in mid-January.

"Our factory has officially closed, we are in the process of liquidation and there are very few people on hand," an employee told Reuters by phone.

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