Baosteel has ordered two seamless pipe production lines from the SMS Group

The German company SMS Group has announced that it has received an order from China’s Baosteel Steel Pipe to supply two rolling mills for the production of premium-grade seamless pipes (PQF) at its plant in Ma’anshan. This was reported by SteelOrbis.

The design capacity of each production line will be nearly 1.2 million tonnes of seamless pipes per year. Production on the first line is scheduled to commence in the fourth quarter of 2027.

SMS Group will supply the main process equipment, a Level 1 automation system, process measurement systems, and process control software for both lines.

Last August, Baosteel approved the first phase of its project to produce premium-grade seamless pipes, with the aim of filling gaps in the range of medium-diameter seamless steel pipe specifications and enhancing the competitiveness of Baosteel’s steel pipes.

To implement the plan, the company invested 3.085 billion yuan ($454 million) in Baosteel Steel Pipe, which then used these funds to establish Baosteel Pipe Ma’anshan, a wholly-owned project company, to oversee construction. The total investment in the entire project is estimated at 4.96 billion yuan, including taxes. Construction began in April this year.

As reported by GMK Center, Baosteel produced 13.2 million tonnes of steel and 12.2 million tonnes of pig iron in the first quarter. The company’s steel exports rose by 6.8 per cent year-on-year to 6.5 million tonnes. In total, Baosteel plans to produce 51.5 million tonnes of steel and 48.5 million tonnes of pig iron in 2026.

It should be noted that in April, the Turkish steelmaker Kardemir commissioned its new No. 2 continuous casting machine. The new unit was supplied by the German SMS Group and has an annual production capacity of 1.2 million tonnes. The equipment is designed to produce semi-finished products of various sizes.