ROSLYN, N.Y., June 25, 2020 /PRNewswire/ -- Sino-Global
Shipping America, Ltd. (NASDAQ: SINO) ("Sino-Global",
the "Company" or "we"), a non-asset based
global shipping and freight logistic integrated solution provider,
today announced that it has signed a Non-Binding Memorandum Of
Understanding ("MOU") with Yunnan Jingyifeng Supply Chain
Management Co Ltd ("JYF") to jointly develop the business of
exporting products to China. These products include sulphur,
vegetable oil, soybean, barley, wheat, and dried grains with
solubles, which are used for fuel production, feeding, and
other agriculture needs.
The Company has seen a considerable increase in export demand
following the January 15, 2020
signing of the U.S.-China Phase 1 deal, which
included China's commitment to purchase $200 billion of U.S. products over the next two
years. These products include fertilizer raw materials such as
sulfuric acid, phosphoric acid, ammonia and niche categories of
sulfur, along with agricultural products.
Under the MOU, JYF aims to use Sino-Global's customer
relationships and experience as a procurement agent in purchasing
approximately 1,000,000 metric tons of these products per
year, which will then be marketed to JYF's customers in
South West China, including
Guangxi, Yunnan, Guizhou and Sichuan provinces. The Company
anticipates reporting an increase in agency-based trading
revenue, with the current market prices ranging from $75 per ton for sulphur products to $400 per ton for soybean products. Sino-Global's
revenue under similar types of arrangement typically ranges between
8-12% of the total amount.
Mr. Lei Cao, Chief Executive Officer of Sino-Global, stated, "We
are seeing a tremendous opportunity to leverage our shipping agency
expertise and contacts with growing demand for exporting products
to China under the requirements of
Phase 1 of the U.S. / China trade
deal. The U.S. has historically been a net importer of sulfuric
acid and has not historically exported significant volumes to
China, and the impact of COVID-19
has placed considerable pressure on China-based importers to expand and
improve their supply chain network in order to meet the
demands under the agreement. Sino-Global will provide a
turnkey supply chain logistic service solution for JYF,
which can then sell these products directly to Chinese clients. We
have successfully worked with JYF in the past, and expect to pursue
additional arrangements where Sino-Global can provide solutions to
those importers that have been working diligently to secure raw
materials and components and protect supply lines."
About Sino-Global Shipping America, Ltd.
Founded in the United States in
2001, Sino-Global Shipping America, Ltd. is a company engaged in
shipping, chartering, logistics and related services. Headquartered
in New York, Sino-Global has
offices in Los Angeles, Mainland
China, Australia, Canada and Hong
Kong. The Company's current service offerings
consist of shipping agency services, shipping and chartering
services, inland transportation management services and ship
management services. Additional information about Sino-Global can
be found on the Company's corporate website at
www.sino-global.net. The Company routinely posts important
information on its website.
About Yunnan Jingyifeng Supply Chain Management Co
Ltd
Yunnan Jingyifeng Supply Chain Management Co Ltd pursues a
business model which combines logistics management with trading.
Its major focus on South West
China includes sales across Guangxi, Yunnan, Guizhou and Sichuan provinces. JYF is involved in
both international and domestic trading, consultation for supply
chain management and coordinating multi-transportation solutions
for the safe movement of vegetable oils, urea, ammonia nitrate,
sulphur, sulphuric acid, phosphoric acid and fertilizers.
Forward Looking Statements
No statement made in this press release should be interpreted as
an offer to purchase any security. Such an offer can only be made
in accordance with the Securities Act of 1933, as amended, and
applicable state securities laws. Any statements contained in this
release that relate to future plans, events or performance are
forward-looking statements that involve risks and uncertainties as
identified in Sino-Global's filings with the Securities and
Exchange Commission. Actual results, events or performance may
differ materially. Readers are cautioned not to place undue
reliance on these forward-looking statements, which speak only as
the date hereof. Sino-Global undertakes no obligation to publicly
release the results of any revisions to these forward-looking
statements that may be made to reflect the events or circumstances
after the date hereof or to reflect the occurrence of unanticipated
events.
Contact Information
The Equity Group Inc.
Adam Prior
Senior Vice-President
(212) 836-9606 / aprior@equityny.com
View original
content:http://www.prnewswire.com/news-releases/sino-global-signs-mou-with-yunnan-jingyifeng-supply-chain-management-to-address-growing-need-for-exported-fuel-and-agricultural-products-to-china-301083370.html
SOURCE Sino-Global Shipping America, Ltd.