Delong Steel Group and Steelinvest Set Sails for Global Expansion with New JV in Dubai
In a bold step towards international expansion, Delong Steel Group, a Chinese steel industry giant, has entered into a joint venture with Steelinvest Group, a prominent Belgium-based steel trader. The newly established company, Ziming SG Global, is strategically positioned in Dubai, UAE, a global trading hub in the Middle East. The joint venture will act as a pivotal platform for exporting semi-finished and finished steel products produced by Delong’s plants to markets across the globe.
Purpose and Strategic Vision of Ziming SG Global
The creation of Ziming SG Global signifies a major development in Delong Steel’s efforts to improve its export capabilities and enhance its global market reach. With Delong Steel producing a variety of steel products at a total annual capacity of 30 million metric tons across 11 plants, the new joint venture will primarily focus on the distribution of hot rolled coils, plates, and long steel products. The partnership brings together the steel manufacturing expertise of Delong Steel Group with Steelinvest Group’s robust trading experience, setting the stage for a more efficient and wide-reaching export strategy.
Strengthening Export Efficiency
By establishing Ziming SG Global in Dubai, Delong Steel seeks to streamline its export processes and optimize the global marketing of its steel products. Dubai’s strategic location between the East and West, coupled with its robust infrastructure and proximity to key international trade routes, positions the joint venture as a significant player in the global steel trade. The new company will leverage Dubai’s advantageous trade policies, strong port facilities, and access to key markets in the Middle East, Africa, and Asia, thereby enhancing Delong’s ability to expand its export operations.
Fred Hayrapet at the Helm
At the forefront of this exciting venture is Fred Hayrapet, who will be heading Ziming SG Global. Fred’s extensive experience in the steel trading industry, coupled with the resources and capabilities of both Delong Steel Group and Steelinvest, ensures that the joint venture will be well-equipped to navigate the complexities of the global steel market. Fred’s leadership is expected to drive operational efficiency, customer satisfaction, and the overall success of the venture.
Delong Steel’s Manufacturing Capabilities
With a significant presence in the steel manufacturing world, Delong Steel Group boasts an impressive annual production capacity of 30 million metric tons across 11 steel plants. These plants produce a diverse range of products, including hot rolled coils, plates, long steel products, and more, which are sold to customers worldwide. The launch of Ziming SG Global underscores Delong’s commitment to meeting the growing demand for high-quality steel in international markets.
The company’s strategic use of its state-of-the-art manufacturing and distribution capabilities positions it for sustained growth in the global steel trade. With Ziming SG Global, Delong is set to increase its presence in emerging markets and strengthen its foothold in existing markets, ensuring that its products reach customers efficiently and cost-effectively.
A Bridge to Middle Eastern and Global Markets
The choice of Dubai as the location for Ziming SG Global reflects the growing importance of the Middle East as a central hub for steel trade. Dubai’s well-established logistics infrastructure, access to global shipping routes, and thriving business environment make it an ideal base for steel companies looking to reach global markets. The new venture will be strategically positioned to meet the increasing demand for steel products in the Middle East, Africa, and Asia, as well as other regions worldwide.
Looking Ahead: Expansion and Growth
As part of the joint venture agreement, Delong Steel Group and Steelinvest Group have set their sights on increasing the volume of exports through Ziming SG Global. The partnership aims to capitalize on Dubai's status as a trade nexus, and further refine the supply chain and marketing strategies for Delong’s steel products. The establishment of Ziming SG Global is expected to pave the way for the company’s continued growth and expansion, reinforcing its position as a global leader in the steel industry.
Key Takeaways:
• Delong Steel Group and Steelinvest Group have formed a joint venture, Ziming SG Global, in Dubai, UAE, to boost steel exports globally.
• The joint venture will focus on selling semi-finished and finished steel products, including hot rolled coils, plates, and long steel products, from Delong's plants.
• Ziming SG Global will enhance Delong’s export efficiency and strengthen its global marketing through strategic operations in Dubai, a key trading hub.
• Fred Hayrapet from Steelinvest Group will lead the venture, bringing extensive experience in steel trading.
• Delong Steel Group operates 11 plants with a total annual capacity of 30 million metric tons of steel.
• Dubai’s strategic location allows Ziming SG Global to access key Middle Eastern, African, and Asian markets, while benefiting from Dubai’s advanced trade infrastructure.
• This partnership is designed to optimize Delong Steel’s global supply chain, ensuring efficient delivery of high-quality steel products to international customers.
