Baoshan Iron & Steel
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Baoshan Iron & Steel is known for its value added high technology steel products. It is first Chinese steel company to acquire ISO14001 environment certificate in China’s metallurgical industry. Baosteel is listed in Shanghai (SSE:600019) Stock Exchange.
Brief history
Baoshan Iron and Steel was a product of economic reforms instituted by Chinese government in 1970s. Construction of factory began in 1978. Commercial operations of first phase started from 1985. Second phase went into operations in 1991. Third phase of steel production was completed in 2000. Baosteel turned into a stock company on 3rd February, 2000. It successfully listed in Shanghai Stock Exchange on December 12, 2000.
Baosteel has following subsidiary companies: Fortune Trust & Investment Co, Shanghai Baosight Software Co, Shanghai Baosteel Business Development Co., Shanghai Baosteel Chemical Co., Baosteel Group Finance Co., Shanghai Baosteel Engineering & Equipment Co., and Baosteel Group Enterprise Development Co.
Baoshan Iron and Steel is currently constructing a modern steel making facility at Zhanjiang, Guangdong, People’s Republic of China. Estimated cost is USD $10 billion.
Products and services
Baoshan Iron & Steel is 6th biggest steel production facility in world. It is largest steel producer in mainland China. This company is well known for its high quality, value added steel products. Baosteel is preferred supplier of steel to automobile industries, container manufacturers, household appliances manufacturers and also to manufacturers of pressure vessels. Oil and natural gas exploration companies also form client list of Baoshan Iron and Steel.
Baosteel is known for its impeccable quality management. Most products are BSI attested. This company has passed QS9000 attestation by Chrysler, Ford and GM.
Financials
In 2007, Baoshan Iron and Steel had a net income of USD $12.7 billion. Returns on assets were around 7.62 percent. Returns on investment were about 13.48 percent. Market capitalization was USD $92,288.240 million.
Ministry of Technology, PRC nominated Baosteel among First Experimental enterprises for Innovation in China.
Current financial crisis
Baoshan Iron and Steel suffered a marked decline in profits due to market meltdown. This was principally due to higher prices of input goods. Total capital ratio remained flat.
