Chinese Company to Construct Metallurgical Plant in Kazakhstan

Chinese metallurgical company Fujian Hengwang Investment Co., Ltd. is set to construct a steel plant with a capacity of 3 million tons in the Zhibek Zholy special economic zone, located in Kazakhstan's Zhambyl region.

The project was discussed during a February 27 meeting between Kazakhstan’s Prime Minister Olzhas Bektenov and Fujian Hengwang Investment Chairman Zeng Zhaoqiang​, The Caspian Post reports citing foreign media.

$1.2 Billion Investment and Job Creation

Fujian Hengwang Investment plans to invest $1.2 billion in the project, which is expected to create 2,500 jobs.

Construction Timeline and Production Capacity

• April 2025 - Construction is scheduled to begin.
• 2027 (Phase 1) - The plant will have an initial production capacity of 1 million tons of steel.
• 2029 (Phase 2) - Capacity will expand to 3 million tons of steel.

Use of Domestic Resources

The project will utilize Kazakhstani raw materials, including natural gas and iron ore sourced from the Karaganda, Kostanay, and Ulytau regions. The plant will manufacture wire rod, reinforcement steel, steel for pipe production, and angle and profile steel.

Planned Power Plant

As part of the second phase, a 350 MW gas turbine power plant will be built to supply energy to the metallurgical facility.

Government Support

Prime Minister Bektenov emphasized the strategic importance of the project, noting that it will:

• Boost Kazakhstan’s metallurgy sector
• Enhance the country’s export potential