Zhongpu Handan accelerates phase I silicon steel production

Since starting production on April 18, Zhongpu (Handan) Electromagnetic Materials Technology Co., Ltd. has rapidly increased output at its silicon steel project. Monthly production of silicon steel, used for the new energy sector, grew from 3,500 tonnes in April to 22,000 tonnes in May and 25,000 tonnes in June, with total output now exceeding 50,000 tonnes. The project produces ultra-thin silicon steel products with thicknesses below 0.2 mm, featuring advanced performance that meets international standards.

Phase I, with an investment of RMB3.2 billion (USD446 million), took just 13 months from the start of construction in March 2024 to the first rollout of product. When fully ramped up, it will produce 500,000 tonnes of high-grade non-oriented silicon steel annually, generating RMB5 billion (USD696 million) in output value each year. About 30% of the products are planned for export to South Korea and other markets. The project is expected to create 400 new jobs and contribute over RMB500 million (69.64 million) annually in tax revenue.

Zhongpu plans to start phases II and III of the project in due course. Once completed, the whole project will be able to produce 1.2 million tonnes annually, with sales exceeding RMB16 billion (USD2.23 million) and over 1,100 jobs created.