September 06, 2008

Wuhan Steel plans for 50 million tonnes capacity

Mr Deng Qilin GM of Wuhan revealed on October 18th 2007 at the 17th CPC National Congress in Beijing that Wuhan Steel aims to become worldwide steel giant with annual capacity of 50 million tonnes and strives to step into the three largest steelmakers club in China by the end of the 11th Five Year Plan.

Wuhan currently has capacity of over 10 million tonnes in the headquarter and over 4 million tonnes in Egang. In addition, it his reorganizing Liuzhou Steel and Kunming Steel resulting in total capacity of about 30 million tonnes. To reach over 50 million tonnes, its capacity has to grow by 20 million tonnes.

Due to environment protection, Wuhan Steel is unlikely to expand production in Qingshan and Ezhou, thus the 20 million tonnes whould be contributed by expansion in other provinces.

Besides Liuzhou Steel and Kunming Steel, it also plans to merge steelmakers nearby in mid China and southwest China. Moreover, it is ambitious to build, reconstruct and expand steel mills in coastal regions, in a bid to form a competitive and dominant steel group.

(Sourced from Mysteel.net)