Jiuquan Steel has reported that its stainless steel capacity will reach 1.2 million tonnes per year after the completion of its on going second stage stainless steel project, which is set to start in 2009. A manager with Jiuquan Steel said that the first phase construction was put into service in the end of 2005. It produced 166,000tns stainless crude steel in 2006 and 301,000tns in 2007, while plans are to go into full capacity operation of 600,000tns in 2008. But given the slack demand, the output is likely to be altered accordingly.
