China XD Plastics Company, a Chinese manufacturer engaged in the development, manufacturing, and distribution of modified plastics primarily for use in automotive applications, has signed a six-month provisional agreement with Tianjin Huapu Company.

Under this agreement, Tianjin Huapu would distribute the Company's specialized modified plastics for automotive applications in Northern China, where Tianjin Huapu is a plastic resin distributor with a network covering all automobile manufacturers in the region, including Beijing Automobile Works, Tianjin FAW Xiali Automobile, Great Wall Motor and others.

Jie Han, Chairman and CEO, China XD, said: "This is a very important milestone for China XD. As leaders in our respective market categories, it's fitting that China XD's quality products and competitive prices are available in Northern China as well. The North region accounts for approximately 10% of the total market demand for automotive applications in China."

Since March 2009, the companies have started supplying in small quantity to the customers and currently phase into batch supplying stage.