The planned construction of a new steel mill in Whyalla, Australia by business group GFG Alliance will add to oversupply in the Asia-Pacific region, market sources told Fastmarkets MB this week.
"It's something which the region does not need, especially in the face of the many steel mega-projects which are being planned in Asia," an industry source in Southeast Asia said.GFG's planned "Next-Generation" steel mill will add another 10 million tonnes per year (tpy) of slab, bloom and billet capacity in Asia, on top of other projects currently in the pipeline, such as Hebei Iron & Steel and SteelAsia's planned 8-million-tpy project in Cagayan De Oro in south Philippines.GFG's plant is one of 16 projects listed by the Chinese central government as "having national significance for China" as part of its Belt and Road initiative.The plant will focus on the...