Huang Tianwen, CEO of China Sinosteel Corporation, said yesterday: the company will found factory in India together with the domestic factory, with the amount of capital invested exceeds 200 million U. S. dollar. It is predicted that the scale will be 3 million tons to 5 million tons, the major product is long materials,including the building steel.
Sinosteel feels optimistic about supply in India. Huang Tianwen has pointed out when attending the China-India trade summit as Chinese enterprise representative:
China-India both countries should reinforce the exchange and cooperation in the field of the metallurgy technology and equipment actively.
Huang Tianwen said yesterday, when he was accepting the medium interview. At present, Sinosteel is negotiating with the partners about the factory building, the domestics one may include Baosteel. If in possibility, steel hope holds the controlling share. It is one of the ways that Chinese Steel Enterprise gain the India high-grade iron ore.
He also said that the investment plan is subject to both sides's attitude and Indian government. Sinosteel Indian Corporation is discussing with the partner to make further investment of iron ore. Parts of products will also be supplied to China. Since the demand of steel in India is get behind 10 to 15 years than China, the need of long materials for port, capital construction, highway and railroading construction in India are greatly bigger than China
As Huang Tianwen mentioned, iron ore negotiation price should not upswing but maintain stable next year. And may downside in some occasion. Anyway, he hope the negotiation should be finished quickly, which will benefit for both sides.
