China's State Administration for Market Regulation has approved major Chinese steelmaker Baowu Group’s acquisition of Shandong Province-based state-owned steelmaker Shandong Iron and Steel Group (Shangang), according to the administration’s latest release on its official website.
Baowu Group produced 131.84 million mt of crude steel in 2022, ranking first in terms of volume in the global market, according to the World Steel Association (worldsteel) data. Baowu Group is targeting an annual crude steel capacity of 200 million mt by 2025.
Meanwhile, in 2022, Shangang produced 29.4 million mt of crude steel, ranking seventh in China and 11th globally.
Shangang has an annual crude steel capacity of more than 30 million mt, while it mainly produces steel plate, strip, section, special steel and construction steel.
According to State Administration for Market Regulation, the acquisition by Baowu Group of Shangang will not violate anti-monopoly laws.