Fujian Province-based Fujian Yinhe Investment Management Co., Ltd, which is a subsidiary of Tangshan Donghai Steel, signed an investment agreement with People’s government of Yunfu Yuncheng District, indicating Donghai Steel’s 4 million mt of quality steel project, with an overall investment of RMB 6 billion ($0.85 billion) located in Yunfu city, Guangdong Province.
The steel project will produce high quality steel, fabricated construction steel and home appliance steel, which will adopt the advanced electric arc furnace technology. After the completion of the project, it will likely realize an annual sales revenue of RMB 16 billion ($2.3 billion).
Hebei Province-based Tangshan Donghai Steel Group located in Luanzhou, Tangshan of Hebei, has an annual steel capacity of 6 million mt.
In order to improve the air quality in Tangshan, this is not the first time that Tangshan steelmakers to relocate their steel production bases in other regions, for instance, Tangshan Jianlong, Xinbaotai Iron and Steel, Jinma Steel Group and Jinxi Steel relocated their steel bases in Chengde of Hebei, Chifeng of Inner Mongolia, and Fangchenggang of Guangxi Zhuang Autonomous Region.