May 31 (Reuters) - China's Baosteel Group expects to complete construction of its 10-million-tonne-per-year Zhanjiang steel project launched on Thursday in southeastern Guangdong province in three to four years, an official with the company said.
Beijing has pledged to fast-track a number of major large-scale investment projects this year as part of efforts to stimulate growth.
"The project will not worsen the domestic supply glut as Guangdong province will shut down inefficient steelmaking capacity," Jia Jinlong, an engineer with Baosteel's Zhanjiang Iron & Steel, told reporters in Zhanjiang on Thursday.
Baosteel Group, parent of Shanghai-listed Baoshan Iron & Steel Co Ltd, announced on May 25 that it had received official approval for the $11 billion project, which will produce 5.15 million tonnes of hot-rolled steel and 2.2 million tonnes of cold-rolled steel per year.
On Monday, Wuhan Iron and Steel Group officially began construction of a steel plant in the southwestern region of Guangxiwith an annual capacity of 10 million tonnes.