Shagang's Sales Revenue Hits RMB 178.6 Billion

China's largest private steel producer Shagang Group achieved sales revenue of 178.6 billion yuan, a 22 percent increase over that of 2009; and created a combined profit and tax of 13.6 billion yuan, up 75 percent. Last year the group developed more than 50 new high-tech and high value-added products while realizing the commercial production of 26 steel grades including high strength low alloy structural steel, construction steel for high-rise buildings, pressure vessel steel and auto beam steel.

Shagang's ultimate goal is to produce 50 million tons of steel by 2015, not so impressive when compared with Baosteel's 66 million tons, since the group has placed more emphasis on the strengthening of its relationships with the upstream and downstream sectors of steel.

In addition to the 25 berths Shagang is operating in Zhangjiagang port with a combined handling capacity of up to 80 million tons, the group is investing 30 billion yuan to build a state-of-the-art steel logistics center in the next five years that will deal with businesses such as storage, processing, distribution and finance services.