It is reported that Eastern Special Steel Co Limited's finished sales revenue totals CNY 8.6 billion as well as profits and taxes of CNY 0.25 billion in 2010. The annual sales revenue is expected to reach CNY 10 billion and the profits and taxes to be CNY 0.6 billion, surging by 8 times.

Eastern Special Steel, based in Changzhou City of Jiangsu Province, was established through taking over insolvent assents in an open auction. It mainly produces common carbon structural steel products, which enjoy wide applications and big sales but with high energy consumption and pollution as well as low technology content and added-value disadvantages. Meanwhile, the common carbon structural steel products are less likely to resist the market risks due to the fast cyclic changes of the steel industry and tend to be confined by the demand from downstream industries.

In 2011, Changzhou Eastern Special Steel initiated to adjust the product mix from common carbon structural steel to fine special steel products. Additionally, low carbon production is to be achieved with massive investment in energy conservation and emission reduction.

Mr Jiang Zhongmin GM of Eastern Special Steel introduced that the 1 million tonnes fine bar & rod rolling line in operation was worth CNY 0.25 billion, with all the techniques equal to the international advanced level. It would also stretch out the industrial chain downward to develop rod products after the project was completed by the second half year. Apart from that, several projects like No 4 converter producing fine special steel products would be finished within 2011.

The special steel products may account for 75% of the total in 2011 and outreach 95% in 2012. In terms of environmental management, No 2 steel mill’s dedusting system transformation project was accomplished last year with the total investment of CNY 12 million and some other transformations of No 1 steel mill may also be achieved this year with CNY 0.1 billion investment.

(Sourced from MySteel.net)
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