The steel industry integration of China Baowu Trusteeship China Iron and Steel Group has increased again.

SMM: October 11, Sinosteel International Engineering and Technology Co., Ltd. (referred to as "Sinosteel International") disclosed that the controlling shareholder Sinosteel Group intends to be hosted by China Baowu Iron and Steel Group Co., Ltd. (referred to as "China Baowu"), which means that the territory of the iron and steel giant will expand again, and Baowu Department will add another member.

According to the announcement, Sinosteel directly holds 235845969 shares of the company, and its subsidiaries Sinosteel Co., Ltd. and Sinosteel Asset Management Co., Ltd. hold 406262246 shares and 44016017 shares of the company respectively. Sinosteel Group directly and indirectly holds a total of 686124232 shares, accounting for 54.60% of the total shares of the company, and is the controlling shareholder of the company. The State-owned assets Supervision and Administration Commission of the State Council is the actual controller of the company. So far, the company's controlling shareholders and actual controllers have not changed.

Sinosteel is a central enterprise under the supervision of the State-owned assets Supervision and Administration Commission of the State Council. Sinosteel Group is mainly engaged in the development and processing of metallurgical mineral resources, metallurgical raw materials, product trade and logistics, and related engineering and technical services and equipment manufacturing. Sinosteel is a large multinational enterprise group that provides integrated services of resources, science and technology and equipment for the metallurgical industry, integrating mineral resources, engineering equipment, new materials of science and technology, trade logistics and investment services.

It is reported that from January to June 2020, Sinosteel International achieved sales revenue of 6.02 billion yuan, basically the same as the same period last year. Among them, the revenue from the general contracting business accounted for 93.80%, a slight increase over the same period last year. The net profit belonging to shareholders of listed companies was 220 million yuan, down 17.87% from the same period last year. By the end of the reporting period, the total assets of the company were 18.226 billion yuan, and the owner's equity belonging to the shareholders of the listed company was 5.201 billion yuan.

In recent years, the iron and steel industry has been continuously integrated. Before that, Taigang Group and Chongqing Iron and Steel Group were also transferred to Baowu, and a number of large iron and steel groups such as Chongqing Iron and Steel Group and Maanshan Iron and Steel Group were reorganized one after another. Chen Derong, secretary of the party committee and chairman of China Baowu Iron and Steel Group Co., Ltd., said in an interview that the "double cycle" strategy is the inevitable choice for China's economic development to enter a new stage and the inevitable demand for high-quality development. 100 million tons of Baowu is not our end point, but should be a new starting point for our supply-side structural reform in the entire iron and steel industry.

In 2019, China's Baowu achieved a steel output of 95.46 million tons, a total operating income of 552.2 billion yuan and a total profit of 34.53 billion yuan, ranking first in the world in terms of operation scale and profitability. in the first half of 2020, under the severe impact of the epidemic on the global economy, China's Baowu grasped the fight against epidemic on the one hand and development on the other, and the level of production and operation maintained a good trend of steady progress and upward trend. According to China Baowu's plan, the company's iron and steel industry aims to "lead the development of the global steel industry", revolve around the country's supply-side structural reform and promote the adjustment of the country's industrial structure, and promote the transformation and upgrading of China's iron and steel industry. to become China's first and the world's leading boutique steel manufacturing service provider.