Kazakhstan and China Expand Steel Production with New Deal

Kazakhstan’s Qarmet has signed a partnership agreement with Chinese companies Shougang and Power China to build a new rolling mill, Orda.kz reports.

The project is part of the Belt and Road Initiative and aims to boost domestic metal production and reduce import dependence.

Shougang will provide technology and design expertise, while Power China serves as an industrial partner. The first production phase — 450,000 tons annually — is set to launch by mid-2026, eventually scaling up to 1 million tons of construction-grade steel (rebar, beams, pipes).

The project focuses on smart, low-emission production. Technical planning and environmental assessments are underway.

Qarmet is also pursuing other strategic projects:

• $301M gas pipeline to cut energy costs and emissions
  
• New coke oven batteries #8 and #9 ($369M, 1.5M tons/year)
  
• Mining and beneficiation complex in Karazhal ($511M)
  
• Expansion into coal-based chemical products (15+ types)

According to Shougang, the goal is to set a new standard for industrial growth in the region by combining Chinese engineering with Kazakhstan’s industrial base.

Original Author: Mariya Kravtsova