On December 23, Linfen Iron and Steel Co., Ltd, a subsidiary of Shanxi-based Chinese steelmaker Taiyuan Iron and Steel Corporation, inked an agreement with another Shanxi-based steel producer, Meijin Iron and Steel Co., Ltd (Meijin Steel), to take over the management of the latter company.
Meijin Steel has an annual production capacity of 1 million mt of pig iron, 1.5 million mt of crude steel and 1.5 million of finished steel.
Market insiders have revealed that this move is viewed as preparation for the planned purchase of Meijin Steel by Taiyuan Iron and Steel Corporation.