Nisshin Steel expands its production capacity in China
Japan's integrated steelmaker Nisshin Steel is planning to expand its
stainless steel
production capacity in
China. Ningbo Baoxin
Stainless Steel Co. which is an affiliate of Nisshin Steel, will raise its annual cold rolled
stainless sheet
production capacity to 600'000 tons by the end of 2005. With this purpose, the company is going to install four new cold rolling mills, two annealing and pickling lines.
Ningbo Baoshin has annual 80'000 tons
production capacity of cold rolled
stainless sheet when it was started operation in 1998. The company is aiming to increase its annual
production capacity to 240'000 tons this year from 160'000 tons recorded at the end of last year.
Nisshin Steel stated that the latest expansion could meet the strong demand for
stainless steel in
China. This expansion plan will cost about Yuan 3.8 billion (approx. $459 million).
Nisshin owns 20% stake in the company while Chinese steel mills Shanghai Baoshan and Ningbo own 66%.