The authorities in China's Jiangxi Province have announced that a new stainless steel and alloy steel seamless tube production facility is to be built in the city of Nanchang with a total investment of RMB 1 billion ($159 million). The annual output capacity is expected to be 70,000 mt. Jiangxi Hongdu Steel Works, a wholly-owned subsidiary of Xinyu Iron and Steel Group, is the main company behind the project, while it is also seeking to attract foreign investment for the project.
Annual consumption of the products in question in China is expected to reach 700,000 mt in the coming years, in line with the gradual increase in domestic demand for high pressure boiler tubes.