Sweden-based specialty steel producer Alleima has announced that it has expanded its footprint in the Chinese market with the opening of a new high-performance tube production facility in Zhenjiang. Backed by an investment of SEK 255 million ($26.87 million), the project marks a major step in meeting growing regional demand for advanced tubular materials used across industrial, energy, and hydrogen-related applications.
The newly inaugurated facility doubles the company’s existing production capacity in China, broadens its product portfolio, increases local employment, and ensures shorter lead times for customers in China and the wider Asia-Pacific region.
The Zhenjiang project includes a 12,500 square meter cold-finishing mill, enabling the introduction of a premium range of application-specific tubing products. According to Alleima president and CEO Göran Björkman, the added capacity strengthens the company’s ability to deliver high-quality tubular solutions designed to meet the demanding requirements of chemical, petrochemical, hydrogen, pulp and paper, and medical industries.
Expanded product range for demanding industrial applications
The new facility will manufacture an extended range of high-performance tubular products previously imported into China. This includes heat-exchanger tubes, high-temperature tubes, composite tubes, and hydrogen-refueling tubes engineered to withstand extreme environments, high pressures, and corrosive media.
By localizing production, Alleima strengthens its competitive position in Asia and improves availability for customers requiring specialized tubular materials that support energy efficiency, operational reliability, and long-term sustainability.
The production mill will operate using solar power, aligning with Alleima Zhenjiang’s Green Factory certification issued by Jiangsu Province. The investment supports the company’s commitment to sustainable manufacturing, improved process efficiency, and reduced environmental impact.