Taiyuan Plans 25% Higher Stainless Output in 2010

Taiyuan Iron & Steel group increases stainless cold rolled production by 25% to 2.5 million tonnes in 2010 from 2009. The firm tries to develop high grade products including dual phase stainless flat steel and ferrite flat stainless for automotive application when Chinese demand increases. The firm already succeeded to launch high grade products for atomic power plant for the first time as Chinese maker. The firm tries to develop high end segment of domestic market while the firm increases export to follow growing demand.

The firm launched 12 offices since last year to follow growing demand for atomic power plant and rail network. The firm launched offshore marketing unit with 7 offshore offices. The firm improves marketing and service for sheet, plate, tube, shapes and wire rod while the firm shortened lead time through new management system of sales and production. The firm’s sales volume reached 2 million tonnes for the first time in 2009, which was 20.2% higher than 2008 level while the volume was still lower than 3 million tonnes of output capacity.

The firm got order of stainless plate for chemical tanker in July. The firm tries to increase plate sales for shipbuilding when the plate production reaches more than 20,000 tonnes for chemical vessel applications.

The firm also developed high strength austenite heat resistance tube, TP347HFG in June, which is used for boiler in power plant establishing mass production system. The firm tries to secure more than 50% of domestic share in the market.

The firm started mass production of low carbon ferrite flat stainless 429 grade for automotive exhaust application. The firm also entered into long term cooperation with world largest curtain wall maker to develop dual phase grade. The firm already got major order in Middle East in April. The firm seeks growth in high end market.