Liangang Electromagnetic Materials seeks investment to advance silicon steel project
2025-03-17 14:31:06 [Print]
Valin Steel has announced a plan to accelerate the development of its silicon steel project by securing external investment of up to RMB1.5 billion (USD207 million) through a public offering to Hunan Liangang Electromagnetic Materials Co., Ltd., affiliated to Hunan Valin Lianyuan Iron and Steel Co., Ltd., a subsidiary of Valin Steel.
The silicon steel project, launched in June 2022, focuses on producing high-end silicon steel for applications in new energy vehicles, large motors, home appliances, and other industries. The project is being executed in two phases, with a total estimated investment of RMB9.11 billion (USD1.26 billion). Once fully operational, it is expected to achieve an annual output of 800,000 tonnes of non-oriented silicon steel and 300,000 tonnes of oriented silicon steel.
To oversee the project, Hunan Valin Lianyuan Iron and Steel Co., Ltd. and Lianyuan Iron and Steel Group Co., Ltd. jointly established Hunan Liangang Electromagnetic Materials Co., Ltd. in December 2022. The first phase of the project commenced operations on June 30, 2023, and has already achieved an annual production capacity of 200,000 tonnes of non-oriented silicon steel. The next phase is progressing rapidly, with an additional capacity of 200,000tpa of non-oriented silicon steel and 100,000tpa of oriented silicon steel expected to come on stream in 2025.
Liangang Electromagnetic Materials has a registered capital of 2.05 billion yuan (283 million yuan), with Valin Lianyuan holding a 51.22% stake and Lianyuan Group holding 48.78%. The company produced 263,000 tonnes of finished silicon steel in 2024.
The silicon steel project, launched in June 2022, focuses on producing high-end silicon steel for applications in new energy vehicles, large motors, home appliances, and other industries. The project is being executed in two phases, with a total estimated investment of RMB9.11 billion (USD1.26 billion). Once fully operational, it is expected to achieve an annual output of 800,000 tonnes of non-oriented silicon steel and 300,000 tonnes of oriented silicon steel.
To oversee the project, Hunan Valin Lianyuan Iron and Steel Co., Ltd. and Lianyuan Iron and Steel Group Co., Ltd. jointly established Hunan Liangang Electromagnetic Materials Co., Ltd. in December 2022. The first phase of the project commenced operations on June 30, 2023, and has already achieved an annual production capacity of 200,000 tonnes of non-oriented silicon steel. The next phase is progressing rapidly, with an additional capacity of 200,000tpa of non-oriented silicon steel and 100,000tpa of oriented silicon steel expected to come on stream in 2025.
Liangang Electromagnetic Materials has a registered capital of 2.05 billion yuan (283 million yuan), with Valin Lianyuan holding a 51.22% stake and Lianyuan Group holding 48.78%. The company produced 263,000 tonnes of finished silicon steel in 2024.
