In 1984, the battery recycling enterprise Xuzhou Nonferrous Alloy Factory was established in Pizhou City, a county-level city of Jiangsu Province. Its main activity was to recycle lead-acid batteries. In addition to providing local jobs, the enterprise paid substantial taxes to the Pizhou government. In 1997, it was restructured into a limited liability company and renamed as Jiangsu Chunxing Alloy (Group) Co., Ltd. The recycling plant continued to expand, and in 2006, it built extensive new facilities near Xinsanhe Village. Besides the expansion-related land disputes, these facilities have generated large amounts of dust. The wastewater containing lead and other toxic heavy metal elements flowed into the river running past Xinsanhe and into the groundwater, contaminating the villagers’ crops. 
In 2008, among the more than one hundred children under the age of 14 in Xinshanhe Village, 41 of them were diagnosed with lead poisoning, or plumbism, which causes significant damage to the neural and cognitive development of children; 65 were tested out with excessive blood lead levels.  Villagers believed that Chunxing, located just 100 meters away from the village, was the polluter to be blamed.
As early as 2006, some villagers found that their children had excessive blood lead levels, and they asked the company for health compensations but without any answer. On May 20, 2008, several villagers, including Zhuang Siliang, also found that his child's blood lead exceeded the standard, but Chunxing refused the compensation claim for his child’s poor health resulting from plumbism. On July 24, 2008, Zhuang brought his two children again to the People's Third Hospital of Xuzhou City and the results indicated that he too was poisoned by lead. At the same time, his small restaurant was also affected since people knew about the lead pollution. Nevertheless, his request for an explanation was refused by the suspected company Chunxing.
Many other villagers from neighborhoods in Xinsanhe also sought compensation from the enterprise, providing medical proof of their pollution-related diseases. Again, the enterprise denied any responsibility for the villagers’ health problems, saying that they had met the environmental standards. Starting from August 2008, villagers of Xinsanhe embarked on a series of environmental protests against the Chunxing plant. They turned to the Internet for assistance; reports about the pollution in Xinsanhe Village began to appear online in October 2008. 
Jiangsu Chunxing Co. Ltd. and the Pizhou government reacted to the villagers’ protests by attempting to cover up the effects of pollution generated by the recycling of batteries. The enterprise bribed local hospitals, which falsified medical reports to state that the children of Xinsanhe were healthy when they were in fact sick. This behavior motivated the villagers to continue mobilizing and protesting against environmental injustices. On 10 November 2008, the villagers collectively complained about the pollution issues to the local government, and to the Petition Bureau of Pizhou City. Although the government conducted investigations for three days, it did not order the plant to shut down during the investigation. This oversight infuriated the villagers, who partially demolished walls of the plant on 13 November in an effort to prevent further manufacturing. 
The villagers were unaware of any responses from the local government to address the environmental and health issue. Some decided to seek medical treatments in Beijing. Meanwhile, they continued to complain to the Petition Bureau of the State. However, the Pizhou Government threatened the villagers and interfered with their attempts to seek medical treatment in Beijing. As a result, the fiercest confrontation occurred on 13 December 2008, when black smoke poured from the factory and more than a hundred furious villagers marched to the building and attempted to demolish the production lines. 
Finally, with mounting pressure and increasing reports from the media about this scandal, the Pizhou Government was forced to relocate the enterprise and to offer free medical treatments to those children who were diagnosed with lead poisoning.  In the end, the enterprise was simply relocated to the Pizhou Renewable Economy Industrial Park, and it resumed its manufacturing practices under the new name, Jiangsu New Chunxing Resource Recycling Co., Ltd. 
In February 2009, 18 lead-poisoned children were treated at the Shanghai Jiaotong University attached Xinhua Hospital, from where they received professional lead expulsion treatments.  More and more people started to move out of the village in order to seek a safer place for their children.