Shanghai Huafon Aluminium plans to establish a subsidiary in Hong Kong for $1 million, according to a disclosure on Tuesday.
The subsidiary, Huafon Aluminium (Hongkong) International Trading, will sell aluminium sheet, strip and foil materials.
According to the disclosure on the Shanghai Stock Exchange, the investment is in line with the company's strategic layout and future business development plan.
"It can leverage Hong Kong's international trade and tax advantages to support the company's overseas business expansion," the disclosure said.