South Korea's top steelmaker POSCO is to build a plant in southern China to produce steel sheets for automobile makers there, a spokesman said Tuesday.
The plant in Guangdong province is to be completed by the end of 2012 with an annual production capacity of 450,000 tons of zinc-coated steel sheets, he told AFP.
"Demand for high-end automotive steel sheets is likely to increase as auto production in China is continuously on the rise," he said.
POSCO already operates a stainless steel plant in Zhangjiagang city in the eastern province of Jiangsu, whose annual capacity will reach one million tonnes in 2013.
The world's fourth largest steelmaker, POSCO has been expanding in China, India and Indonesia. It has also announced plans to buy a Vietnamese stainless steel plant.
earlier related report
China says foreign direct investment uptick continues
Beijing (AFP) Nov 16, 2010 –
Foreign direct investment in China rose 7.9 percent year-on-year in October, the government said Tuesday, indicating confidence in the nation's economy continued to improve after a slight lull.
China attracted 7.66 billion dollars in foreign investment last month, commerce ministry spokesman Yao Jian told reporters.
Foreign investment had slowed sharply in August, rising just 1.4 percent year-on-year compared with an increase of 29.2 percent in July and 39.6 percent in June.
But in September it picked up again, increasing 6.1 percent year-on-year.
Yao said foreign companies pumped 82 billion dollars into China in the first 10 months of the year, up 15.7 percent from the same period last year.
He pointed out that expansion of the nation's domestic market was among the factors lifting FDI.
"Foreign investment is shifting from export-oriented sectors to the domestic market and from manufacturing to service industries," he said.
The data includes investment by overseas companies in industries such as manufacturing, real estate and agriculture but excludes money put into banks and other financial institutions.
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