Olof Faxander, CEO of Sweden steel manufacturer SSAB, announced on Thursday, May 13, that SSAB will invest RMB 300 million ($44 million) to establish a new finishing line in Kunshan, Jiangsu. The new line is expected to improve delivery performance, shorten lead times and provide value-added service to Chinese customers.
SSAB entered the Chinese market in the 1990s by setting up sales representative offices in Beijing and then built a research and development center in Kunshan in 2007.
Speaking at the Swedish Pavilion at the World Expo 2010 held in Shanghai, Mr. Faxander stated that China is becoming one of the most important markets for SSAB.
Due to the rapid development of the heavy machinery and auto industries in China, the demand for high strength steel has been increasing, he said. Mr. Faxander said he expected Asian demand to account for 20 percent of SSAB's total output by 2015, compared with seven percent in 2008.