Baosteel, China’s leading steelmaker, is set to enter into a joint venture with Saudi Aramco and the Saudi Public Investment Fund to establish a steel plant in Saudi Arabia. The announcement was made following Saudi Arabia’s recent announcement of four new economic zones, including one in Ras Al Khair where the steel complex will be located.
According to the official statement released by Saudi Aramco, the new steel complex is expected to have an annual production capacity of up to 1.5 million tons of steel plates and is slated for completion in 2026.
Amin Nasser, CEO of Saudi Aramco, expressed his expectations that the new facility will improve the local steel supply chain in Saudi Arabia. The project is part of an initiative to develop a role model project for economic cooperation between China and Saudi Arabia.
Baosteel’s involvement in the project is part of the company’s efforts to develop high-quality infrastructure in line with China’s Belt and Road Initiative. The joint venture is expected to promote economic cooperation between the two countries and contribute to the sustainable development of the global steel industry.