Shanghai Baosteel International Economic and Trading Co., a subsidiary of Shanghai-based Chinese steel giant Baosteel Group, has inked an agreement with the authorities in the district of Sanshui in the city of Foshan, in China's Guangdong Province, regarding the construction of a new steel processing center expected to cost RMB 500 million ($79 million) which will supply the automotive and household appliance sectors, as reported by local newspaper Nanfang Daily.
The project, which will be Baosteel's biggest project in Foshan, will consist of two phases with a planned overall annual steel processing capacity of 150,000 mt, while its annual sales revenues are expected to be in the range of RMB 975 million-1.3 billion ($154-206 million). Construction work on phase one of the project will commence in 2012, with commissioning of phase one due to take place in January 2013