Angang Steel Company Limited

Company Profile

In 2024, the Company actively responded to the severe market conditions, focusing on stabilizing production, driving reforms, reducing costs, and improving efficiency. It accelerated transformation and innovation, strived to overcome challenges, and enhanced the quality of development, achieving remarkable results in building the “Five-model Enterprise”. 1. Continuous Improvement of Scientific and Technological Innovation The Company has achieved fruitful results in technological research and development, as it promoted special research tasks, and the development of GPa-level marine steel was praised in a special publication by the SASAC; established itself as a source of original technology, breaking through 8 “bottleneck” technologies; strengthened the transformation of achievements, promoting 349,000 tons of new products, and globally launched hot-dip galvanized low-density automotive steel and corrosion-resistant steel plates for marine construction structures. The project of “key common technology development and application for electromagnetic control of large metal billet preparation” that the Company participated in won the second prize of 2023 National Science and Technology Progress Award. 3 projects were selected in the SASAC’s Catalogue for the Recommendation on Scientific and Technological Innovation Achievements of Central Enterprises, and 19 projects have won provincial and industry science and technology awards. 2. Remarkable Results in Digital Empowerment The Company’s digital demonstration has yielded significant results. In 2024, the Company was awarded 5 national ministerial-level awards and 2 provincial-level awards, and was included in the Ministry of Industry and Information Technology’s list of “Digital Pilot” enterprises. 1 project was recognized as a typical case for the construction of digital China by the National Data Administration, and 2 projects were selected as pilot demonstration projects by the Ministry of Industry and Information Technology. In 2024, the Company received national incentive funds of RMB5 million, and its influence within the industry association continued to grow. The Company accelerated intelligent manufacturing, completed 37 digital intelligence projects, and planned the intelligent transformation of 5 production lines in 2024, further expanding the construction and functional enhancement of intelligent scenarios. 3. Significant Breakthroughs in Reform The Company’s internal vitality has been greatly enhanced as it has intensified reforms in streamlining administration, delegating powers, and improving services. It has authorized 41 business matters across four major areas: marketing, procurement, investment, and human resources, fully unleashing the vitality of independent operations. The Company has advanced the 3.0 reform of Chaoyang Iron and Steel, reducing the number of organizational units by 44%. This has established a new management model of “direct company oversight of operational areas”, resulting in a 10% improvement in overall process efficiency. Angang Chemical was recognized as a benchmark enterprise in the 2023 "double-hundred action" of central enterprises, while Chaoyang Steel and Iron was awarded the title of outstanding enterprise. 4. Outstanding Achievements in Lean Management The Company has deepened the coordination of sales, research, production, and financial systems, achieving significant cost reduction. By promoting cost-effective procurement, the fuel ratio of blast furnaces at the Anshan base has significantly decreased, achieving a year-on-year decrease of 30kg/t. Quality management has been strengthened, with the overall yield rate increasing by 0.03 percentage points year-on-year. The Company has also tapped into the cost-saving potential of the energy system, reducing external energy procurement costs by 7.3% year-on-year. Guided by the principle of “intensive efficiency and phasing out outdated practices”, the Company has improved the quality and efficiency of high-performance production lines, creating star production lines. Differentiated lean management initiatives have been implemented across Anshan, Yingkou, and Chaoyang, with 305 improvement projects established, generating benefits of RMB70 million. The potential of the equipment has been fully exploited, and the comprehensive capabilities of the equipment have been greatly improved. The comprehensive compliance rate of the four evaluation indicators of strength, speed, precision and stability has been improved to 94.76%. 5. Growing Brand Influence The Company’s market influence has been steadily rising. By adjusting products and increasing efficiency, the product adjustment index increased by 2.4% compared to the previous year. The Company has further solidified its presence in the Northeast “base area”, achieving a 9.44% year-on-year increase in regional sales. Through the innovative model of “export authorization + post-evaluation + performance incentives”, the Company’s export sales surged by 28.3% year-on-year. The Company successfully secured a spot in the “Sinopec 2024 Long-distance Pipeline Framework Procurement Agreement”, ranking first in bidding volume for four consecutive years. Additionally, it holds the leading market share in steel for nuclear power and steel for railway locomotives and vehicles. 6. Orderly Green and Low-Carbon Development New progress has been made in the green, low-carbon transition. The Bayuquan Branch Company became the first company in the Northeast region and Angang Group to receive A Class environmental performance and dual-carbon best practice energy efficiency benchmarking. Chaoyang Steel and Iron’s clean transportation and unorganized ultra-low emission upgrades have been publicly recognized by the CISA, as have the ultra-low emission upgrades for clean transportation at the Anshan base. The Bayuquan Branch Company and Chaoyang Steel and Iron high-efficiency generator set projects were successfully connected to the grid and started generating power. The Bayuquan Branch Company's coke oven gas to LNG (liquefied natural gas) coproduction of hydrogen project was put into operation. The hydrogen metallurgy pilot test line completed the system heat load test run and successfully produced direct reduced iron. 7. Robust and Steady Risk Control. Prudently guarding against financial operational risks, the company has improved the efficiency of capital turnover, reducing the occupancy of funds in inventory and receivables by 2.86% year-on-year. It has strengthened capital budget management, increased the use of bill resources, and coordinated the Company's capital income and expenditure. The Company has also made rational use of financial institution credit resources, promptly increasing interest-bearing liabilities to cover operational and investment funding gaps, ensuring the smooth and secure operation of cash flow. 8. Employee Innovation and Flourished Co-construction and Co-sharing The Company adheres to the people-centred development philosophy and continues to bring people together and increase their well-being. The Company organized 77 labor competitions and strongly supported 162 employee innovation projects. Two employees were awarded the title of “Central Enterprise Labour Working Role Model”. One young technical backbone was honored with the 28th “China Youth May 4th Medal”. At the 27th National Invention Exhibition, the Company won 17 gold awards, 25 silver awards, and 33 bronze awards. The Company has successfully completed 60 key livelihood projects, significantly enhancing employees’ sense of fulfillment and happiness.