Giant Chinese investment will boost Hungary's steel industry
Liberty's technology partner CISDI will receive financial support for a major investment in the Dunaújváros steel plant. The credit insurance agreement in principle was concluded between CISDI Engineering and China Export and Credit Insurance Company (Sinosure).
Liberty Steel Group is part of the GFG Alliance, a global business and investment network owned by Sanjeev Gupta and his family. The agreement covers an amount of 1.3 billion euros and paves the way for the financing of the Liberty electric arc furnace plant with a capacity of three million tons per year, that is, the export and installation of equipment in Dunaújváros.
With the commissioning of the new plant, everything More outdated coal-based steelmaking methods will be replaced by the latest environmentally friendly steelmaking technologies. Two new arc furnaces (EAFs) with a capacity of 150 tons, together with a modernized secondary metallurgy complex, will be able to process steel scrap and directly use pellets.
The Hungarian steel industry rises to a new level
The steel produced in this way the sheets will be processed in a hot rolling mill. Compared to previous technology, the new plant reduces CO2 emissions from direct production by approximately 80 percent.
The €1.3 billion investment package was announced to include the modernization of the existing hot rolling mill and galvanizing line, as well as installation of new production lines that will serve the defense and automotive production bases in Hungary.
In a statement, Thomas Gangl, CEO of Liberty Steel Europe, said that they have reached an important milestone that lays the foundation for Liberty's Dunaújváros plant has become a state-of-the-art green steel plant at the forefront of sustainable steel production technologies. The project is progressing on schedule and they continue to work with all stakeholders to effectively implement the project.
On behalf of Sinosure Shanxi, the representative added: “This investment is also important because it will also be a showcase of China's advanced technologies that contribute to decarbonization and modernization of the Hungarian steel industry. The joint efforts of Liberty Dunaújváros and CISDI highlight the growing cooperation between China and Hungary and demonstrate the huge potential benefits of investing in sustainable steel technologies.”