In a landmark development for Iraq's industrial sector, the government has officially approved Tsingshan Holding Group, a major Chinese private company, to construct the country's first industrial city focused on steel and metal production. This ambitious project will be located in Basra, a key hub for the oil industry in southern Iraq. The announcement was made by Abbas Hayal, the Director of Iraq’s state-owned General Steel Company, highlighting the government's commitment to revitalizing the nation’s manufacturing capabilities.
The project comes after a competitive selection process led by Iraq's Industry Ministry, which chose Tsingshan Holding in early 2024. The approval signals a renewed effort to boost local production and reduce dependency on imported steel and metal products. Officials have noted that the industrial city will be established on the premises of GSC, the country’s main steel producer before production ceased in the wake of the 2003 US-led invasion. This return to steel production is seen as a crucial step in restoring Iraq’s industrial heritage.
While specific details about the project's scale and investment remain undisclosed, it is expected to encompass state-of-the-art facilities for steel and metal manufacturing. This development is part of Iraq’s broader strategy to diversify its economy, which has historically been heavily reliant on oil exports. By establishing a robust manufacturing sector, the government aims to create jobs, foster economic growth, and enhance the country’s overall infrastructure.
