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History of Ansteel | China | Anshan Iron & Steel

History of Ansteel History of Ansteel

In 2024, Ansteel was the third largest steelmaker in the world and produced ~59 million tonnes (mt) of crude steel.

Ansteel Timeline

  • Japanese Origins (1916-1945): Showa Steel Works established under Japanese rule in Manchuria, adopts German Krupp-Renn technology for steelmaking, mill dismantled by Red Army at end of WW2 and shipped to Soviet Union
  • Chinese Reconstruction (1946-1965): Steel mill rebuilt at previous Showa site as Anshan I&S in 1948, establishment of Panzhihua Iron and Steel Group Company Ltd expanding operations to Western China
  • Early Development (1966-2001): Period of growth and development under Chinese state ownership, building foundation for future modernisation and international partnerships
  • Market Integration (2002-2010): Partners with ThyssenKrupp in Tagal automotive HDG plant, obtains Hong Kong and Shenzhen stock exchange listings, announces then abandons Benxi merger, completes Panzhihua Iron and Steel merger into Group
  • Acquisition Phase (2011-2020): Buys 60% stake in E United Group's stainless mill in Guangzhou, announces second ThyssenKrupp JV, acquires Chaoyang Steel for $882M and Gindalbie Metals for $25M, settles cross-border iron ore transaction in Yuan
  • Consolidation & Green Transition (2021-2025): Acquires 51% stake in Benxi Steel Group creating world's No 3 steelmaker, purchases 49% stake in Lingyuan Iron and Steel from SASAC, secures Qidashan iron ore expansion permit, launches Green Steel initiative with SMS
  • Deepening Losses (2026): H1 net loss forecast up 84% to RMB 2bn, HIFRI hydrogen DRI technology recognised in worldsteel Steelie Awards
Timeline shows remarkable 109-year evolution from 1916 Japanese-era Showa Steel Works through WW2 destruction and Chinese reconstruction to current position as world's third largest steelmaker producing ~56mt annually.

The timeline below covers the history of the firm.

  • 1916: Showa Steel Works established under Japanese rule in Manchuria.
  • 1937: Showa adopts German Krupp-Renn technology for steelmaking.
  • 1945: Mill dismantled by Red Army at end WW2 and shipped to Soviet Union.
  • 1948: Steel mill rebuilt at previous Showa site as Anshan I&S.
  • 1965: Establishment of Panzhihua Iron and Steel (Group) Company Ltd.
  • 2002: Invests with ThyssenKrupp Stahl in Tagal automotive HDG plant.
  • 2004: Obtains listing on Hong Kong and Shenzhen stock exchanges.
  • 2005: Plan announced for company merger with Benxi Iron and Steel.
  • 2006: Benxi I&S merger plan abandoned.
  • 2008: Tagal jv capacity increased to 800kt/year
  • 2010: Panzhihua Iron and Steel merged into the Group.
  • 2014: Buys 60% stake in E United Group's stainless mill in Guangzhou.
  • 2015: Announces plan for another auto galv line jv with ThyssenKrupp.
  • 2018: Acquires 100% of equity of Chaoyang Steel for $882m.
  • 2019: Acquires Gindalbie Metals in $25m deal.
  • 2020: Settles cross-border iron ore transaction in Yuan [not dollars].
  • 2021: Ansteel and Ben Gang ponder deal to create world's No 3 steelmaker.
  • 2021: Acquires 51% stake in Benxi Steel Group Co.
  • 2022: Ansteel net profit down ~98 percent, year-on-year.
  • 2023: Acquires 49% stake in Lingyuan Iron and Steel from SASAC.
  • 2024: Secures new permit to expand Qidashan iron ore project.
  • 2025: Launches 'Green Steel' initiative with SMS.
  • 2025: Starts green hydrogen steel production trials at Bayuquan.
  • 2026: Forecasts H1 2026 net loss of RMB 2.05 billion, up 84% year-on-year.

Notes
  • 1916: The Showa Steel Works was initially a subsidiary of the South Manchurian Railway Company, and was based in Anshan. This locations was chosen for the steelplant because of its proximity to the Takushan iron ore deposits.
  • By 1942, the Showa Steel Works had total production capacity of ~3,600,000 tonnes, making it one of the major iron and steel centres in China.
  • 1965: Panzhihua Iron and Steel (Group) Company Limited is also known as Pangang. Over the years Pangang became one of the largest steel makers in Western China, as well as one of the country's largest producers of vanadium products.
  • In 2002, ThyssenKrupp Steel Europe AG and Ansteel China invested in an automotive industry hot dip galvanised steel production plant called Tagal (TKAS Auto Steel Company Limited)), located in Dalian (in the north east of China). The initial design capacity of this facility was 450 kt/year.
  • 2004: Stock exchange listing obtained as Anshan Iron and Steel Group (Angang).
  • 2005: Merged Anshan - Benxi firm was to have been called the Anben Iron and Steel Group.
  • 2015: Joint venture with ThyssenKrupp Steel Europe related to investment and construction of a high-strength auto sheet steel plant in Chongqing.
  • 2018: Chaoyang Steel produces ~2 million tonnes of quality sheet steel per year from its facility in northern Liaoning province.
  • 2019: Purchase of Gindalbie Metals by Ansteel was intended to take place after demerger of Gindalbie's subsidiary Coda Minerals. Coda is involved in exploration activities at the Mt Gunson copper-cobalt project in South Australia.
  • 2020: In early August, Ansteel Group and London-headquartered Rio Tinto Group completed their first iron ore settlement in Chinese yuan. The transaction was vlued at CNY100 million (USD 14.3 million).
  • 2021: An April press release mentioned the merger. The potential deal to integrate the country's fourth- and ninth-largest steel companies, respectively, was announced by a listed unit of Ben Gang, which noted that the merger was still in the planning phase and would require regulatory approval.
  • 2021: Merger of Ansteel and Benxi Steel creates world's third largest steelmaker, with crude steel capacity of 63 mt / year and annual sales worth 300 billion yuan ($46 billion).
  • 2022: The company noted that industry profitability declined sharply with finished steel prices falling, while iron ore prices widely fluctuated and energy prices soared.
  • 2023: In March 2023, Lingyuan Iron and Steel had crude steel capacity of approx 6 million tpy, used for the production of bar, rod and plate. The 49% equity stake in Lingyuan Iron & Steel was acquired from China's State-owned Assets Supervision and Administration Commission (SASAC).
  • 2024: Located in Northeast China's Liaoning province, the Qidashan mine is Ansteel's largest iron ore production site.
  • 2025: In January 2025, SMS group and Ansteel signed an MoU to advance green steel technologies and decarbonisation efforts. The project aims to deepen cooperation in products, technologies, and projects to advance and innovate green steel technologies, thereby supporting the sustainable development of the global steel industry.
  • 2025: Hydrogen-based steel production trials commenced at Ansteel's Bayuquan plant in August 2025. The new Ansteel process uses green hydrogen made from renewable electricity to replace traditional coke in the iron-making process, and achieve near-zero carbon emissions.
  • 2026: Anshan Iron and Steel (Ansteel) expected its H1 2026 net loss to reach RMB 2.047 billion, an increase of 83.59% on the loss a year earlier. On the technology front, Ansteel's HIFRI green hydrogen fluidised-bed DRI process at Bayuquan - which achieved stable full-process operation by end-2025 with metallisation above 95% - was recognised in worldsteel's 2026 Steelie Awards.