Located inside BaoSteel in Shanghai, the new company involves a total investment of 783 million US dollars and 361 million US dollars of registered capital.

BaoSteel have contributed 50 percent of the capital, Nippon Steel 38 percent and Arcelor 12 percent.

The company will have a production capacity of 1.7 million tons of high-grade steel sheet for automobiles.

The new company is aiming to become the dominant auto steel sheet producer on the Chinese market.

Full-scale production will begin in June next year.

(CRI August 30, 2004)