On December 9 Chinese producer Pancheng Steel's output of seamless pipe in 2008 exceeded one million mt. The company has thus become the world's third specialized seamless pipe manufacturer having an annual capacity of over one million mt.
Since its establishment six years ago, Pancheng Steel has set itself the strategic goal of developing into a world class seamless pipe production base. Pancheng Steel has completed on schedule the relocation and modernization of the pipe rolling system at its mill located in Chengdu, having relocated its 365 m3 blast furnace, 80 mt converter and 105 m2 sinter plant and also its 340 continuous rolling pipe mill, Thus, in addition to making cost-savings, Pancheng Steel has also solved the problem of feedstock supply for its seamless pipe production.
Meanwhile, with the reconstruction of its pipe rolling process, equipment modernization and technological upgrades, and especially with the establishment of world class continuous rolling pipe mills including the 340 and 159 mills, Pancheng Steel has further strengthened its leading position in China's domestic pipe industry. A great improvement has been achieved in the capacities of the 508 rolling pipe mill, the expanding mill, and of the special pipe and alloy tube and OCTG production lines at Pancheng Steel. In addition to the ongoing A-R precision pipe rolling units project as well as the precision pipe and cold rolling tube projects currently in the planning stage, the company has already achieved an annual production capacity of 1.5 million mt of steel pipes.