The festive signing ceremony took place in Vienna on April 17 and saw participation of top-level managers from both companies along with governmental representatives.

Primetals Technologies entities in Austria, China, and Germany will supply the complete mechanical scope as well as the process-related electrics and automation solution. The plant is scheduled to be in full operation at the end of 2025.

The Arvedi ESP endless strip production technology is one of the most energy-efficient processes for producing endless hot rolled coil (eHRC) of high quality. This is the main reason why Zhongshou selected Arvedi ESP for its transition from the conventional route, consisting of an LD converter (BOF) and a hot-strip mill, into a production line based on an electric arc furnace (EAF) and Arvedi ESP.

“We have a clear target of holding a position as front runners in green steel production both on the domestic and international markets, while also being able to compete on markets protected by carbon border adjustment (CBAM) restrictions. The Arvedi ESP technology and its record-breaking low carbon footprint will be playing a key role for us in achieving this target,” says Zhongshou chairman Zheng Ting Wen.

“Currently, steel producers across the globe prepare to decarbonize their production routes. Zhongshou takes a decisive step on this endeavour with the investment in the world’s twelfth ESP plant, allowing the company to reach zero CO₂ emissions at the casting-rolling stage during operation. We look forward to collaborating closely with Zhongshou in the transition to green steel production,” says Andreas Viehböck, Head of Upstream Technologies at Primetals Technologies.

“Almost 20 years ago, Giovanni Arvedi pioneered endless strip production with the invention of Arvedi ESP,” says Mario Arvedi Caldonazzo, CEO of Arvedi Group. “Today, after numerous improvements over the years, Arvedi ESP is still the only proven solution for green steel strip production. With this technology, Zhongshou Special Steel Group will be able to significantly reduce CO₂ emissions while maintaining a high production capacity to meet the increasing need for highly demanding steel grades.”

The high reduction capability will enable Zhongshou to supply the commodity market at high productivity rates, as well as high-strength low-alloy steel (HSLA) niches, including the automotive sector, with coil thicknesses ranging from 0.7 to 12.7 millimeters. The production will be geared towards full endless mode over the complete range of thicknesses.