On July 29, 2025, the Development and Reform Commission of Fujian Province officially approved the application of Fujian Hengwang Investment Co., Ltd. to invest 7.5 million US dollars in the Republic of Kazakhstan, marking the implementation stage of the 3 million ton short process comprehensive steel plant project with a total investment of 1.2 billion US dollars. The project is located in the Silk Road Industrial Park of Jiangbuhr Oblast, Republic of Kazakhstan, which is another important breakthrough in the internationalization layout of Chinese steel enterprises.

As the world's largest steel producer, China's crude steel production capacity will exceed 1 billion tons by 2024. Faced with the dual pressure of intensified domestic market competition and international trade barriers, Chinese steel companies are accelerating their pace of globalization layout. Fujian Hengwang Investment Co., Ltd.'s overseas investment not only helps optimize the domestic production capacity structure, but also fully integrates the resources and market advantages of the Republic of Kazakhstan.

The project adopts internationally advanced direct reduced iron (DRI) combined with electric furnace steelmaking technology, which can reduce carbon emissions by 40% -60% compared to traditional blast furnace technology. This green technology roadmap not only conforms to the global trend of low-carbon development, but also significantly improves energy utilization efficiency. The abundant iron ore and natural gas resources, as well as competitive energy prices in the Republic of Kazakhstan, provide unique conditions for project operation.

In recent years, the Republic of Kazakhstan has continued to promote its economic diversification strategy, and there is a strong demand for infrastructure construction. The country's steel production capacity is insufficient, and the annual import volume continues to increase. The investment of Fujian Hengwang Investment Co., Ltd. will effectively fill the local market gap and radiate to the Russian Federation, five Central Asian countries, and the Middle East region. The project is expected to create thousands of direct job opportunities, driving the development of supporting industries such as mining, logistics, and equipment manufacturing.

The government of the Republic of Kazakhstan has provided policy support such as tax reductions and land incentives for the project. The Chairman of Fujian Hengwang Investment Co., Ltd. stated that it will introduce China's advanced steel production technology, management experience, and environmental standards into the Republic of Kazakhstan, and build a modern steel production base that is green, low-carbon.

Industry insiders point out that this project has multiple demonstrative significance:

1. Innovate international production capacity cooperation models to achieve complementary advantages in resources, technology, and markets;

2. Promote the green transformation of China's steel industry and export low-carbon production processes;

3. Deepen China Kazakhstan economic and trade cooperation and inject new momentum into the joint construction of the the Belt and Road.

With the implementation of the project, Fujian Hengwang Investment Co., Ltd. will also build a technical training center to cultivate professional and technical talents for the local area. The project is expected to start construction in 2026 and be completed and put into operation in 2028, making it one of the most competitive green steel production bases in Central Asia. (This article is from the official website www.seetao.com of Jian Dao. Reproduction without permission is prohibited, otherwise it will be prosecuted. Please indicate Jian Dao website+original link when reprinting.) Jian Dao website infrastructure engineering column editor/Yang Beihua