Figure 10. Wood supply chain of Rimbunan Hijau companies.Figure 11. Wood supply chain of TyndaLes.Suifenhe Longjiang Shanglian Import-Export Co. LtdEstablished in August 1998 and registered in the city of Suifenhe (Heilongjiang Province), Longjiang Shanglianis a private enterprise with rights to import and export. The authorized capital is RMB 55.55 million. The realcapital is over RMB 100 million. The company has become a leader in the <strong>Russia</strong>n-Chinese timber trade andgeneral forest sector-related cooperation with <strong>Russia</strong>. The company has a number of divisions in its Suifenheheadquarters, including Domestic <strong>Trade</strong>, Foreign <strong>Trade</strong>, Railway Import-Export, and Road <strong>Trade</strong>.The company has a number of divisions, including Domestic <strong>Trade</strong>, Foreign <strong>Trade</strong>, Railway Import-Export, andRoad <strong>Trade</strong>. The company also has offices in Manzhouli, Vladivostok, Nakhodka, and Khabarovsk. It indirectlyleases forests in Khabarovskiy and Primorskiy Krays. The company owns or co-owns three wood processingmills in <strong>Russia</strong>, specifically the cities of Iman (Dalnerechensk), Khabarovsk, and Orika. Most employees atthese mills are <strong>Russia</strong>ns and they can produce a total capacity of 50,000 cu. m. The major product is sawnwood,most of which is sold to companies in Shanghai.The facilities in Suifenhe total 60,000 sq. m, with 1.35 km of railway, and storage for 50,000 tons. There areseveral subsidiaries, mainly wood processing mills. One of these subsidiaries, Suifenhe Zhaofeng Wood Co.15
Figure 12. Wood supply chain of Primorskiye Lesopromyshlenniki.Ltd was established in September 2002. The authorized capital is RMB 8 million and the real capital is RMB 20million. The company has two laminated sawnwood production lines with a capacity of 1,500 cu. m. It alsomanufactures furniture components, decorative boards, and mouldings; the production capacity for these productsis 1,300 cu. m. The company has established long-term trade relationships with 35 mills in <strong>China</strong>. Productsare sold to Japan and Korea as well. In 2004, Longjiang Shanglian imported 473,200 cu. m of logs and 11,900cu. m of sawnwood from <strong>Russia</strong>, accounting for 2.77% and 1.49%, respectively, of <strong>China</strong>’s total import. Comparedwith import volumes in 2003, log imports increased 40.9% and sawnwood import increased 12.3%.Suifenhe City Boundary Economic Cooperation Region Guangyu Economy and <strong>Trade</strong> Co., LtdEstablished in 1994, this private company mainly engages in the import of <strong>Russia</strong>n timber and the export ofother products. The company has five subsidiaries, including Suifenhe City Friendship Woodwork Co., Ltd,Suifenhe City Five Ocean International Goods Transportation Agent Co., Ltd, and the Suifenhe City JinyuxingElectronic Industry Co., Ltd. It also has two affiliated companies, has set up three offices in Vladivostok andKhabarovsk, and has established a large wood-processing mill in the Iman region of Primorskiy Kray. It hassales offices in the cities of Dalian, Yantai, Shanghai, Lianyungang, Guangzhou, and other places in <strong>China</strong>. Thecompany has 460 employees with an authorized capital of RMB 18 million and it annually imports 300,000 cu.m of timber. Annual sales total RMB 210 million.Subsidiary Friendship Woodwork Co., Ltd began operations in 2001. The company occupies an area of 36,000sq. m with buildings totalling 9,000 sq. m. It has 5 sawmills (3 are in foreign countries), 2 planer mills, 2 fingerjointmills, 30 drying kilns with a capacity of 100 cu. m each, 2 air-dry warehouses with a capacity of 1,700 sq.m each, a 500 kW box-type substation, a 300 kW transformer, 2 sets of 3 ton timber loading machines, and 4sets of 3 ton forklift trucks. The company’s authorized capital is RMB 5.1 million. RMB 23 million has beeninvested in capital construction, and circulating funds total RMB 25 million. The company has 320 administra-16