China names Whyalla steel plant as of national significance

In a potentially huge boost for the Whyalla steel mill, the Chinese government has named it one of 16 projects of national significance to China.

Chinese recognition of the significance of Whyalla’s new steel plant is important for the strengthening of relations with the global superpower, British industrialist Sanjeev Gupta says.

Mr Gupta’s company GFG Alliance is developing a new steel mill in Whyalla, with a view to double production.

Last week the Chinese government named the development one of 16 projects of national significance to China.

Sanjeev Gupta

“This recognition demonstrates the significance of this once-in-a-lifetime project not only for the future of manufacturing and industry in Australia, and the long-term outlook for Whyalla, but also for strengthening relations with China,” Mr Gupta said.

“The steel plant is destined to be the largest and most efficient built outside of China in the last few decades.

“It will have the ability and infrastructure to double capacity in time. It will also be accompanied by a major expansion in our mining business to feed this plant on a long-term competitive and sustainable basis.”

While in Beijing last week, Mr Gupta also signed a memorandum of understanding with the China International Capital Corporation to develop funding options for his group’s expansion plans.

He said the Whyalla development would ignite a new industrial revolution in Australia. “Making steel at world-scale modern, efficient plants in Australia rather than just exporting raw materials around the world is a compelling industrial strategy,” Mr Gupta said.