The Chinese private company Hongwang Group , a major producer of stainless cold rolled products, has put up a first phase of the project that can produce 700,000 tonnes of high-quality cold-rolled stainless steel a year in Yangjiang, Guangdong province.
The Guangdong-based company said the ceremony for the commissioning of the project will take place on 26 Oct’19.
The company is commissioning a line for the production of stainless cold rolled steel with a thickness of 0.5 to 3 mm and a width of 1,240 mm with a capacity of 700 thousand tonnes per year. The construction of a new workshop started in November 2018, and took less than a year to complete.
Hongwang also plans to implement three more stages of the project. At the second stage, it has planned to establish a line of continuous annealing at 500 thousand tonne per year, at the third – to put two reversible cold rolling lines with a total capacity of 300 thousand tonne per year to obtain high-quality precision stainless sheet with a thickness of 0.25 mm or more.
The fourth stage of the project involves the development of products with higher added value, in particular, a stainless sheet with a mirror surface. The capacity of the equipment that is planned to be used at this stage will be 300 thousand tonne per year.
The commissioning of the project is set to bolster overall stainless steel supply, and weigh on prices on the backdrop of weaker raw materials prices, sluggish demand and high inventories.
Hongwang Investment Group is an enterprise engaged in the production of cold-rolling stainless steel and owns various subsidiary companies. In 2015, the company had put into production the first set of three stand tandem mill with the continuous annealing and pickling line with the annual output of 700,000 tonne. The second two sets of 300,000 tonne of 20-high mill with the assorted continuous annealing and pickling line was put into production in 2016. Thus, by 2016, the annual output of Hongwang Group reached 2.8 MnT.
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