CleanTech Innovations, Inc. is a designer and manufacturer of products that directly address the air pollution and high energy consumption issues in China, now the world's largest energy user and the world's largest polluter.
We design, manufacture, test and sell structural towers for 1, 1.5 and 3-megawatt, or MW, on-land wind turbines. We are currently the only certified wind tower manufacturer within Tieling, Liaoning Province, which we believe provides us with a competitive advantage in supplying towers to the wind-energy-rich northern provinces of China.
China became the world's largest wind energy provider in 2010 installing 18.9GW of new installed wind capacity, more than 50% of the world market. China has total installed wind capacity of 44.7GW, 23% of the world's wind capacity. China is projected to install a record 55GW new wind capacity in 2011.
CleanTech's wind tower customers include two of China's five largest state-owned utility companies, which are the top wind farm operators in China. We produce wind towers, a component of wind turbine installations, but do not compete with wind turbine manufacturers.
Our specialty metal products are used in clean solution systems by large-scale industrial companies in the steel and coke, petrochemical, high-voltage electricity transmission and thermoelectric industries. Our metal expansion joints are implemented in Coke Dry Quenching (CDQ), clean solution system that recycles waste heat in the steel making process. We provide customized thick-walled Class III pressure vessels to various industries in China. Due to the licensing, technological expertise, and stringent manufacturing quality required in the Class III pressure vessels product category, our customers continue to depend on us for solutions that meet their needs. With higher performance metrics and lower prices, we expect our specialized products to capture the growing market as the Chinese government enforces stricter energy efficiency, pollution control, and safety regulations.
CleanTech was founded on September 2007 and has since experienced significant growth. For the year ended December 31, 2010, our net sales were $22.3 million, a 716% increase over the previous year, with 29% gross margin and 19% net margin.
As China moves aggressively to increase its energy efficiency and reduce its pollution intensity associated with industrial production, we look forward to providing innovative solutions to help China adopt modern and technologically advanced systems.