Baosteel, a subsidiary of China Baowu Steel Group, announced plans to increase steel exports to 10 million tons per year by 2028.
In the first half of 2024, Baosteel achieved a record export volume of 3.04 million tons. By the end of 2023, exports increased by 46.6% y-o-y to reach approximately 5.84 million tons, the company's highest level to date.
Baosteel is strategically expanding its markets in South and Southeast Asia, while also seeking new opportunities in the Middle East, Latin America, and Africa. The company continues to have a strong presence in Europe, as well as North and South America. It also aims to sell a total of 52.2 million tons of steel in 2024. In the first half of the year, the company’s sales reached 25.51 million tons, a slight decrease of 0.19% compared to the previous year. In the second quarter, sales reached 12.99 million tons, a reduction of 3.41% compared to the previous year.
Baosteel expects demand for hot-rolled steel in China to remain subdued in the third quarter, affected by ongoing challenges in the real estate sector and weak sales in the automotive and shipbuilding industries. However, the company expects a moderate recovery in the fourth quarter, driven by potential improvements in the construction sector.
In a strategic move announced in July, Baosteel committed to increase its investment in a joint venture in Saudi Arabia from USD 437.5 million to USD 1 billion. The investment underscores the company’s intention to strengthen flat steel product production in the region.
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