It is reported that Chongqing Municipal Development and Reform Commission recently issued Approval of POSCO-Chongqing Iron & Steel FINEX Integrated Demonstration Steel Plant Project, which indicates that FINEX, the project of comprehensive demonstration steel plant, cooperatively established by Chongqing Iron & Steel and South Korea’s POSCO, has been formally approved by the government. Dating back to the China-Korea Economic and Trade Cooperation Forum in July2014 in Seoul, Chongqing Steel has signed a strategic cooperation agreement with POSCO. Both sides agreed to strengthen efforts in the following areas, “Chongqing FINEX Integrated Demonstration Steel Plant”, “Chongqing Cold-rolled Galvanized Automotive Steel Plate” and Vanadium and Titanium Resources Comprehensive Utilization Project”. The investment of the first two projects is expected to exceed 20 billion Yuan.
Some analysts believe that, over the past few years, the market for high-strength automotive steel has been increasingly coveted by large domestic steel enterprises, and enterprises like Baosteel, TISCO, Valin Iron & Steel and Anshan Iron and Steel Group have already entered into the market. With the participation of Chongqing Iron and Steel Group, the domestic market for high-strength automotive steel will be more intensively competitive. Chongqing Iron and Steel is expected to utilize its geographical advantage to grab a share in the market for high-end auto sheet in Chongqing and the surrounding areas.
The Project of FINEX Integrated Demonstration Steel Plant is located in Chongqing Iron & Steel Zone in Changshou District of Chongqing City. Using the world’s cutting edge steel technology, it integrated a number of innovative technologies and independent intellectual property rights, planning to build the most advanced iron and steel enterprises in the country. The official website of Chongqing Iron and Steel concerning the EIA information of FINEX displayed that, FINEX has an annual output of 3 million tons of iron, 3.17 million tons of steel (billet), 3.05 million tons of materials, and mainly produce high-quality steel sheet and wire, mainly serving automotive, appliance, construction and decoration industries in Chongqing City and the peripheral area. After the completion of the project, it will facilitate the adjustment of the industrial structure of Chongqing Iron and Steel and fill the gaps in the production of steel materials for high-end automobiles in Chongqing.
From: World Metals