Chongqing-based Chinese steelmaker Chongqing Iron & Steel Company Ltd. (Chongqing Iron & Steel Co.) has announced that its parent company Chongqing Iron and Group (Chongqing Steel Group) has put up its 4,100 mm wide plate production line and other production lines for sale in an open tender with a minimum bid price of RMB 1.081 billion ($0.15 billion). In order to ensure the continuous stability of production and operations, while supporting the high-quality development of its products, Chongqing Iron & Steel Co. has stated that it intends to participate in the bidding for the production lines.
The production lines include one 4,100 heavy steel plate production line, one 2,700 mm steel plate production line, one wire rod production line and one 16-50 mm diameter rebar production line. The lines in question are currently leased by Chongqing Steel Group to Chongqing Iron & Steel Co. According to the latest asset lease agreement signed between the two parties, the rental is RMB 13.75 million ($1.9 million) per month (including tax), while the expiration date of the lease is December 31, 2025.