Chinese steel producer Shougang Steel Group has announced that it has inked an agreement with the municipal government of Zhangzhou in
China's Fujian Province for the expansion of the production facilities of local steelmaker Kaixi Iron and Steel.
Under the agreement, Shougang Steel and the Zhangzhou government will invest a total of RMB 5 billion ($761 million), resulting in the largest steel
plate production base in Zhangzhou, on a site covering 100 hectares. The facilities will mainly produce cold rolled steel sheet,
stainless steel sheet,
galvanized steel sheet and pre-painted
galvanized iron (PPGI). The annual production capacity of cold rolled steel sheet at Kaixi Iron and Steel will accordingly reach 3 million mt, from the current level of 2 million mt. Meanwhile, it will also process 2 million mt of steel
plate per year.