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Qingshan may triple Zimbabwe's steel production to 2 million tons

Qingshan may triple Zimbabwe's steel production to 2 million tons

Chinese steelmaker Tsingshan Holding Group is considering increasing annual production at its Manhize steel plant in Zimbabwe from the current 600,000 tons to as much as 2 million tons, according to a report released by Bloomberg.

Product diversification should precede the expansion of production мощностей

Benson Xu, CEO of Tsingshan's Zimbabwean branch, said that the company initially plans to diversify its portfolio of products at the plant before increasing production. He added that the proposed expansion would require improvements to the railway infrastructure and the construction of a metallurgical coal processing plant. There are already iron ore mines in Qingshan that supply the plant, although the cost of the investment has not been disclosed.

Most of the products are exported to the South Африку

Завод , located Approximately 205 km southeast of Harare and commissioned in 2024, the Company currently sells 40% of its products, mostly construction steel, to Zimbabwe, with the remainder exported primarily to South Africa, as well as Malawi and Zambia. Qingshan is also negotiating with Zimbabwe's sovereign wealth fund Mutapa Investment Fund to establish a joint railway venture.

Expansion could increase pressure on South African producers стали

The expansion could increase competitive pressure on South Africa's steel industry, which is experiencing difficulties due to weak demand, unreliable rail links, high electricity prices and growing imports. South Africa's ArcelorMittal has shut down a construction steel plant in 2025, citing import competition and unfavorable conditions for domestic producers using subsidized scrap, while Zimbabwe's state-owned steel company Ziscosteel has been idle since 2008.

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