Hefei Zhongke Youcai raises ¥200M seed for high-end PET optical films
What's the deal? Hefei Zhongke Youcai Technology, a Chinese developer and manufacturer of PET optical films, has raised ¥200M (roughly $28M) in a seed round. Hefei Industrial InvestmentDealroom has a profile for this one. Try Dealroom → led the deal, with participation from Conch Venture Capital, Luojia Wutong, Zhengjing Fund, Guoyuan EquityDealroom has a profile for this one. Try Dealroom →, and Zhongan Chuanggu.
The company specialises in functional polymer thin-film materials and is focused on industrialising high-end PET optical films — a critical component in displays, lighting, and other advanced applications.
Why now? China has been aggressively pushing to localise its supply chains for advanced materials, particularly those used in display technology and electronics. PET optical films have long been dominated by Japanese and South Korean manufacturers, and Beijing's drive for self-sufficiency in key industrial inputs has created a fertile funding environment for domestic alternatives.
The company is based in Hefei, which has emerged as one of China's most active cities for deep-tech investment, backed by a municipal government known for making bold strategic bets on advanced manufacturing.
What could go wrong? High-end optical film manufacturing is capital-intensive and technically demanding. Scaling from R&D to mass production with consistent quality remains a major hurdle — incumbent players have decades of process know-how. Zhongke Youcai will also need to convince downstream customers, such as display panel makers, to qualify and adopt its products, a process that can take years.
The round's investor base is heavily tilted toward state-backed and regional funds, which could limit the commercial pressure that typically sharpens a startup's execution.
The signal: The investor syndicate here — led by Hefei Industrial Investment FundDealroom has a profile for this one. Try Dealroom → and rounded out by regional state-backed vehicles — is a textbook example of China's policy-driven capital machine funnelling large cheques into early-stage advanced materials ventures. The ¥200M raise for what is effectively a pre-revenue deep-tech play signals that Hefei continues to punch above its weight as a strategic manufacturing hub, betting that homegrown PET optical film capacity can displace entrenched Japanese and South Korean incumbents in the display supply chain.
Read more: ITjuzi
