Recently, Shagang successfully produced new die steel 1.2311 and 1.2738, improving the product's quality and broadening its scope of business. The 1.2311 product belongs to German grade, which is widely used in zinc, aluminum, magnesium and alloy compression mold. Besides the function of 1.2311, grade 1.2738 die steel includes Ni, which adds bonus points onto its uniformity of hardness and cutting performance. These two German grade die steel products strictly require on surface quality, non-metal inclusion and flaw detection. The mill actively exchanges with technical section when producing and finally guarantees the products' performance and quality.

Baoshan Iron & Steel Co Ltd and Shanghai Automotive Industry Corporation have obtained the substantial progress in the automotive lightweight technology strategy cooperation after a year of hard work of the two sides. They have realized the reduction of the car weight about 13% by using the comprehensive lightweight technology in one car model and created the condition for the automobile energy saving and emission reduction. This information came from the summing up meeting of the automobile lightweight technology strategy cooperation between Baosteel and SAIC on the afternoon of December 26. The general manager of the Baosteel Group Corporation and Chairman of Baosteel Co Ltd Mr He Wenbo the general manager of Baosteel Co Ltd Mr Ma Guoqiang the deputy general manager Mr Wang Jing, the vice Chairman and President of SAIC Mr Chen Hong, the executive vice president of SAIC Mr Chen Zhixin etc attended the meeting. The deputy general manager of Baosteel Co Ltd Mr Zhou Jianfeng presided over the meeting. Mr He Wenbo and Mr Ma Guoqiang thanked the support of SAIC to Baosteel in their speech. They said that the cooperation of both sides have ascended from a simple supply and demand cooperation to the supply chain and the deep cooperation of the future development, more and more closely. The automobile steel will still be the most important strategic products of Baosteel in future and Baosteel will spare no efforts to promote the development of the automobile plates and the corresponding service, keep up with the pace of the development of the car users and make the users feel the value of the automobile steel of Baosteel. Baosteel will continue to optimize and improve the supply chain construction promote the further development of both sides with practical actions and realize the increment of the supply chain value and the double win of the two cooperating sides on the base of more cooperation opportunities supplied by SAIC.

Near 600 tonnes of DQ45 carbon construction round steel produced by Echeng Steel are purchased by a subsidiary of Dongfeng Motor Group, and listed as the group's procurement sources. Quality DQ45 carbon construction round steel is mainly used for auto making, since it is highly required on performances. As an auto-making enterprise with prestige in China, Dongfeng Motor Group lets Echeng Steel's products enter into its direct-supply platform, which not only broadens Echeng Steel's sales channel, but also lifts the products' popularity.

In early December 2011 three 177.8mm thick tempering high strength steel plates, for self elevating drilling platform use, are successfully tested in Wuyang Steel of Hebei Steel Group. The performances of this product satisfy clients' requirements and fill a domestic blank, which marks the localization of ultra thick steel plate for offshore platform rack use. 177.8mm thick tempering high strength steel plate is a key material for producing offshore platform rack with a very high technology content. Only a few numbers of mills throughout the world can produce this plate.

Chinese steelmaker Chongqing Iron and Steel Group has announced that in 2012 it plans to acquire all outstanding shares in Chongqing Steel Group Iron Company to build a new steelmaking base in Jiangjin and to establish a new terminal at Taizhou port with a total overall investment of CNY 2.2 billion. As reported in the company statement, Chongqing Steel's buyout offer for Chongqing Steel Group Iron Company will be CNY 185.756 million at most. As of December 31 2010, Chongqing Steel Group Iron Company's total assets were valued at CNY 305.52 million. In 2010, its net profit hit CNY 5.12 million. In addition, Chongqing Steel will invest CNY 1.046 billion in total to construct a new steelmaking base in Jiangjin Zone, Chongqing. The project includes a coking furnace a sintering machine, a blast furnace and other related equipment with a targeted annual output capacity of 660,000 tonnes of molten iron. Furthermore, Chongqing Steel also plans to establish a new terminal at Taizhou Port in Chongqing, which will be managed by its subsidiary Sanfeng Jingjiang Port Logistics, with a total investment of CNY 989.92 million. The designed annual throughput of the terminal will be 9 million tonnes.

Benxi Steel exports totaled 2.70 million tonnes in the whole year of 2011 ranking No.1 amid Chinese steel enterprises for successive two years. The company has realized steel exports of 2.80 million tonnes in 2010, an increase of 185.7% compared with the same period last year. Benxi Steel strives to tap into Africa and Middle East in the first half of this year while keeping the market share stable in S Korea, Europe, South America and India. According to the latest statistics, China exported 4.20 million tonnes of steel products in November 2011 up by 9.9%MoM and export value was USD 4.46 billion up by 10.1%. China exported 45.16 million tonnes of steel products in the first eleven months of this year up by 13.8%YoY and export value totaled USD 47.34 billion up by 39.6%.

Chongqing Steel made an announcement on December 29 that it plans to bid for 100% equity of the Iron Industry Co Ltd of Chongqing Steel Group to invest in Jiangjin iron-making project and in wharf construction. Aggregate volume of these three projects is over CNY 2.2 billion. Fixed asset investment is about CNY 1.005 billion and circulating fund is CNY 40 million. The company is to settle projects' capital needs by self-owned funds and loans from banks. Constructions will initiate in December end, costing twelve months. It is predicted that constructions will be completed in December 2012, and the investment payoff period be eight years.

Nippon Steel's vice president Mr Kozo Uchida attended a press meeting in Tokyo and showed a strong concern about the increase of imported steel products and the impact on domestic market price. Mr Uchida indicated export decrease and import increase would continue for a while under extremely strong yen rate. Mr Uchida concluded CY2011 was a very tough year for Japanese steel industry due to the Great East Japan Earthquake, world economic confusion, historically strong yen trend and flood in Thailand. He pointed out world steel demand leveled off while Chinese and South Korean steel makers aggressively expanded output capacities and then steel market price trend was totally weak.
Mr Uchida projected a view that Japanese crude steel production is likely to decrease in CY2012 mainly due to the partial demand deterioration after the Japan Earthquake. He explained that Japanese steel makers lost price competitiveness under high yen rate while Japanese carbon steel import increased to 480,000 tonnes in October from the usual volume of 300,000 tonnes. Mr Uchida emphasized Japanese steel makers should cautiously downsize domestic steel sheet inventory and watch export and import market. As for China, he analyzed the steel demand could increase as in usual years after Chinese New Year but the increasing size and speed are unforeseeable.