Fufeng Group () is the largest private-owned

monosodium glutamate Monosodium glutamate (MSG), also known as sodium glutamate, is the sodium salt of glutamic acid. MSG is found naturally in some foods including tomatoes and cheese in this glutamic acid form. MSG is used in cooking as a flavor enhancer wit ...

(

flavour enhancer A flavoring (or flavouring), also known as flavor (or flavour) or flavorant, is a food additive used to improve the taste or smell of food. It changes the perceptual impression of food as determined primarily by the chemoreceptors of the gustat ...

) and the second largest

xanthan gum Xanthan gum () is a polysaccharide with many industrial uses, including as a common food additive. It is an effective thickening agent, emulsifier, and stabilizer that prevents ingredients from separating. It can be produced from simple sugars u ...

producer in

Mainland China "Mainland China" is a geopolitical term defined as the territory governed by the People's Republic of China (including islands like Hainan or Chongming), excluding dependent territories of the PRC, and other territories within Greater China. ...

. Its products include flavour enhancers, xanthan gum,

fertilizer A fertilizer (American English) or fertiliser (British English; see spelling differences) is any material of natural or synthetic origin that is applied to soil or to plant tissues to supply plant nutrients. Fertilizers may be distinct from ...

starch Starch or amylum is a polymeric carbohydrate consisting of numerous glucose units joined by glycosidic bonds. This polysaccharide is produced by most green plants for energy storage. Worldwide, it is the most common carbohydrate in human diets ...

, and

sugar substitute A sugar substitute is a food additive that provides a sweetness like that of sugar while containing significantly less food energy than sugar-based sweeteners, making it a zero-calorie () or low-calorie sweetener. Artificial sweeteners may be d ...

. The company was founded in 1999 and is headquartered in

Binzhou Binzhou (, ), formerly Putai, is a prefecture-level city in northern Shandong Province in the People's Republic of China. The city proper sits on the northern bank of the Yellow River, while its administrative area straddles both sides of its ...

Shandong Province Shandong ( , ; ; alternately romanized as Shantung) is a coastal province of the People's Republic of China and is part of the East China region. Shandong has played a major role in Chinese history since the beginning of Chinese civilizatio ...

, China. The company's current

CEO A chief executive officer (CEO), also known as a central executive officer (CEO), chief administrator officer (CAO) or just chief executive (CE), is one of a number of corporate executives charged with the management of an organization especially ...

is Li Xuechun. Fufeng Group is one of the largest MSG producers in China and has a global presence, with operations in Asia, Europe, and the Americas. The company's products are sold under the brand name "Weifang Fufeng," and it also produces other food additives such as xanthan gum, citric acid, and sodium bicarbonate. Fufeng Group is listed on the

Hong Kong Stock Exchange The Stock Exchange of Hong Kong (SEHK, also known as Hong Kong Stock Exchange) is a stock exchange based in Hong Kong. As of the end of 2020, it has 2,538 listed companies with a combined market capitalization of HK$47 trillion. It is repor ...

History

Fufeng was founded in 1999 and listed on the

on 8 February 2007. However, after issuing a

profit warning A profit warning is a warning declaration issued by a listed company to investors through a stock exchange. It warns investors that the profit of the company in the coming quarter will significantly decline when compared with that of the same quart ...

and profit decline at the first half year in 2007 due to a rise in the price of

corn Maize ( ; ''Zea mays'' subsp. ''mays'', from es, maíz after tnq, mahiz), also known as corn (North American and Australian English), is a cereal grain first domesticated by indigenous peoples in southern Mexico about 10,000 years ago. Th ...

, its share price dropped below the IPO price.

North Dakota plant

In 2022, a proposed Fufeng plant in

Grand Forks, North Dakota Grand Forks is the third-largest city in the state of North Dakota (after Fargo and Bismarck) and the county seat of Grand Forks County. According to the 2020 census, the city's population was 59,166. Grand Forks, along with its twin city o ...

garnered opposition and legal challenges due to national security concerns. Civic groups and journalists voiced concerns about the parent company's connections with the

Chinese government The Government of the People's Republic of China () is an authoritarian political system in the People's Republic of China under the exclusive political leadership of the Chinese Communist Party (CCP). It consists of legislative, executive, mili ...

, the company's labor practices in

Xinjiang Xinjiang, SASM/GNC: ''Xinjang''; zh, c=, p=Xīnjiāng; formerly romanized as Sinkiang (, ), officially the Xinjiang Uygur Autonomous Region (XUAR), is an autonomous region of the People's Republic of China (PRC), located in the northwest ...

, and the proposed plant's proximity to

Grand Forks Air Force Base Grand Forks Air Force Base (AFB) is a United States Air Force installation in northeastern North Dakota, located north of Emerado and west of Grand Forks. The host unit is the 319th Reconnaissance Wing (319 RW) assigned to the Air Combat C ...

. Specific concern was raised about the possibility of the plant being used as a site for

signals intelligence Signals intelligence (SIGINT) is intelligence-gathering by interception of ''signals'', whether communications between people (communications intelligence—abbreviated to COMINT) or from electronic signals not directly used in communication ( ...

and

electronic warfare Electronic warfare (EW) is any action involving the use of the electromagnetic spectrum (EM spectrum) or directed energy to control the spectrum, attack an enemy, or impede enemy assaults. The purpose of electronic warfare is to deny the opponen ...

against the Air Force base. The

United States-China Economic and Security Review Commission The United States-China Economic and Security Review Commission (informally, the US-China Commission, USCC) is an independent agency of the United States government. It was established on October 30, 2000, through the Floyd D. Spence National Defe ...

also raised concerns about the plant and the ranking members of the

United States Senate Select Committee on Intelligence The United States Senate Select Committee on Intelligence (sometimes referred to as the Intelligence Committee or SSCI) is dedicated to overseeing the United States Intelligence Community—the agencies and bureaus of the federal government of ...

voiced opposition and requested a review of the transaction by the

Committee on Foreign Investment in the United States The Committee on Foreign Investment in the United States (CFIUS, commonly pronounced "Cifius" ) is an inter-agency committee of the United States government that reviews the national security implications of foreign investments in U.S. companie ...

(CFIUS). In September 2022, the mayor of Grand Forks paused construction of the plant. In response, the

House Appropriations Committee The United States House Committee on Appropriations is a committee of the United States House of Representatives that is responsible for passing appropriation bills along with its Senate counterpart. The bills passed by the Appropriations Commi ...

subsequently enacted a ban on purchases of U.S. farmland by China and certain other nations in its 2023 funding bill. In January 2023, the

United States Air Force The United States Air Force (USAF) is the air service branch of the United States Armed Forces, and is one of the eight uniformed services of the United States. Originally created on 1 August 1907, as a part of the United States Army Signal ...

called the proposed plant a "significant threat to national security." On February 7, 2023, officials in Grand Forks, North Dakota voted 5–0 to strike down the company's plans for a corn mill on the site. The vote allows the company to own the property but denies infrastructure and building permits at the site.

References

External links

* {{Food companies of China Companies listed on the Hong Kong Stock Exchange Food and drink companies of China Privately held companies of China Companies based in Jinan Chemical companies established in 1999 Chinese companies established in 1999