Kazakhstan and China's Fujian Province to Build $1.2 Billion Steel Plant

Kazakhstan and China's Fujian Province have agreed to implement a series of major investment projects, with the centerpiece being the construction of a $1.2 billion metallurgical plant in Kazakhstan. The agreement was reached during a visit by Kazakhstan's Minister of Trade and Integration, Arman Shakkaliyev, to the southeastern Chinese province.

The key project involves cooperation with the Chinese company Fujian Hengwang Investment. The planned steel plant is projected to have an annual production capacity of up to 3 million tons of steel. The investment is expected to create approximately 2,500 jobs, with the output targeting both the domestic Kazakh market and export channels.

Beyond the steel complex, discussions are underway for several other localization projects aimed at establishing high-value production chains within Kazakhstan. These include potential ventures with textile firm Jinyuan for yarn production and deep processing, with Weihua Heavy Machinery for manufacturing lifting equipment and engineering centers, with Shenda Electric for producing transformers and electrical goods, and with Jinlun Hi-tech Fiber for projects in synthetic fibers and chemical processing.

Minister Shakkaliyev emphasized the strategic importance of partnering directly with industrial provinces like Fujian. "Fujian is one of China's key industrial and export regions," he stated. "We are working with provinces, not just China as a whole. Through its ports, Kazakh products can access southern China and ASEAN countries."

The move signifies a concerted effort to transfer technology, localize manufacturing, and integrate Kazakh production into international supply chains.