It is reported that Shanxi Province-based Chinese steel group Taiyuan Iron and Steel Company has signed an agreement with another local steelmaker Xingyuan Iron and Steel Company according to which Taiyuan Steel will acquire a stake in Xingyuan Steel.

Within the framework of the agreement, Xingyuan Steel will avail of Taiyuan Steel expertise in management, technology and marketing. Taiyuan Steel aims to develop Xingyuan Steel into a large integrated steel company with an annual production capacity of 5 million tonnes of crude steel, 5 million tonnes of pig iron and 5 million tonnes of finished steel.

In 2010, Xingyuan Steel achieved a net profit of CNY 212 million with annual outputs of 1.6 million tonnes of pig iron, 2 million tonnes of crude steel and 1.1 million tonnes of finished steel.

(Sourced from SteelOrbis)
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