An internal authority of Wuhan Iron and Steel Group (hereinafter referred to as WISCO) confirmed to the author that WISCO has always had the intention to reorganize Chongqing Iron and Steel (hereinafter referred to as heavy steel), but was rejected by the latter.
The above person told the author that as early as 2004, WISCO had negotiated restructuring with Chongqing Iron and Steel. “Hegang faced relocation and was originally instructed by the government to reorganize another loss-making state-owned enterprise in Chongqing. Therefore, it is interested in finding a strategic partner, and the layout of the southwest is a plan that WISCO has been advancing.â€
Although Chongqing Iron and Steel denied the news of WISCO's restructuring of Chongqing Iron and Steel on the 11th, a middle-level Chongqing iron and steel company told the author that finding a suitable strategic restructuring party has become the development plan of Chongqing Iron and Steel in recent years.
According to the author's understanding, at present, the total production capacity of Chongqing Iron and Steel is only 6 million tons, and it is planned to expand the production capacity to 10 million tons in 2012.
A planning researcher from WISCO told this reporter that WISCO should consolidate its position in the Midwestern steel giant. In addition to entering the western market, mergers and acquisitions are the main way to achieve this strategy.
"We have reorganized Kunming Steel in Yunnan and Liugang in Guangxi. In fact, we have followed this strategy. We have also been interested in restructuring Pangang and heavy steel. Now Panzhihua is going to Angang, and we have considered it.
The above person told the author that as early as 2004, WISCO had negotiated restructuring with Chongqing Iron and Steel. “Hegang faced relocation and was originally instructed by the government to reorganize another loss-making state-owned enterprise in Chongqing. Therefore, it is interested in finding a strategic partner, and the layout of the southwest is a plan that WISCO has been advancing.â€
Although Chongqing Iron and Steel denied the news of WISCO's restructuring of Chongqing Iron and Steel on the 11th, a middle-level Chongqing iron and steel company told the author that finding a suitable strategic restructuring party has become the development plan of Chongqing Iron and Steel in recent years.
According to the author's understanding, at present, the total production capacity of Chongqing Iron and Steel is only 6 million tons, and it is planned to expand the production capacity to 10 million tons in 2012.
A planning researcher from WISCO told this reporter that WISCO should consolidate its position in the Midwestern steel giant. In addition to entering the western market, mergers and acquisitions are the main way to achieve this strategy.
"We have reorganized Kunming Steel in Yunnan and Liugang in Guangxi. In fact, we have followed this strategy. We have also been interested in restructuring Pangang and heavy steel. Now Panzhihua is going to Angang, and we have considered it.
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