CITIC Pacific Special Steel is a global leader that specialises in the manufacture of specialty steel, with an annual production capacity of approximately 20 million tonnes. The company’s six major products1 are widely used in automotive components, energy, machinery manufacturing, oil and petrochemicals, transportation, shipbuilding and other industrial sectors. The company has five specialised production bases for premium special steel materials2, two raw material processing facilities3 and two professional mills4, forming a strategic network along the Yangtze River and Yellow Sea.
In 2024, facing a challenging external environment in the steel industry, CITIC Pacific Special Steel coordinated efforts to achieve “maximum optimisation of cost and operational efficiency”. Leveraging technological innovation, the company accelerated its transformation towards high-end, intelligent and green production, fostering productivity while maintaining industry-leading profitability. In the 2024 China Steel Enterprise Competitiveness (and Development Quality) Rating, CITIC Pacific Special Steel once again received an A+ (Very Strong) rating. Additionally, in the 2024 China Steel Enterprise ESG Rating, the company secured an AAA rating once again. 
Business highlights
Demonstrating stronger resilience throughout industry cycles. CITIC Pacific Special Steel consistently enhanced its market-oriented approach and user application technology research, deepening its presence in niche markets while actively fostering coordination between management and materials. The company achieved sales of 18.89 million tonnes over the year, including 2.202 million tonnes in foreign trade exports. Capitalising on market opportunities in industries such as bearings and new energy vehicles, the company strategically adjusted its product mix. Sales of bearing steel, P-series energy steel products and domestically produced automotive steel increased by 6%, 49.5% and 38% year on year, respectively. Additionally, sales of high-efficiency wire products such as bridge cables, spring wire and steel fasteners increased by 30%, 23% and 20% year on year, respectively. The 81 “little giant” projects collectively recorded annual sales of 7.38 million tonnes, marking 10% year-on-year growth. Sales of “Two Highs and One Special"5 products also increased by 23% year on year. The company strived to strengthen cooperation with Nanjing Steel in procurement, production, sales and management, complementing each other’s customer bases. Together, the two companies established a strong network in differentiated special steel product segments, thereby enhancing their brand influence.
Achieving significant results in key national projects. CITIC Pacific Special Steel continued to carry out reforms in its scientific and technological system, focusing on fundamental and cutting-edge research while accelerating breakthroughs in key material technologies. In March, the Tiefu-1 well in the Tarim Basin of Xinjiang exceeded a drilling depth of 10,000 metres, with all casing used for the first and second drilling phases supplied by Tianjin Pipe. In June, the Shenzhen-Zhongshan Link, a major project in the Guangdong-Hong Kong-Macao Greater Bay Area, officially opened to traffic. Steel wire rod produced by the company’s subsidiary, Xingcheng Special Steel, was used for the bridge’s main cables, while anchorage steel produced by Daye Special Steel was used for the underwater anchors of the Shenzhen-Zhongshan Link.
International layout
CITIC Pacific Special Steel actively planned its overseas development and launched project “Sail” to accelerate internationalisation and the development of a compatible talent pool. In 2024, the company conducted in-depth assessments of over 20 steelmaking facilities in Southeast Asia, the Middle East, North America and Europe, as well as resource suppliers in South America and Australia. This effort led to the establishment of an international strategic value chain based on a “Resources+Core Business+Distribution” model. The implementation prioritised mergers and acquisitions of tertiary stage operations, starting small and gradually scaling up with upstream processes, with key initiatives achieving notable progress.
Technological innovation
Substantial results in technological research and development. CITIC Pacific Special Steel developed the world’s largest continuous casting round billet with a diameter of 1320mm, breaking the world record five consecutive times. The company also launched the world’s first 120mm-thick high-resilience steel used for petroleum refining. The 100mm-thick 9Ni steel once again surpassed thickness limits for nickel-based low-temperature steel used for pressure-bearing equipment. The company also developed the first batch of 1000mm-diameter special P92 continuous casting round billets, filling a gap in both domestic and overseas markets. Additionally, the company successfully developed low-manganese, niobium-free DH36 ship plate steel, which obtained the marine steel certifications of nine leading classification societies. The company’s high-speed rail bearing steel passed the acceptance inspection by the Ministry of Science and Technology of China. The company also successfully developed key core steel components for domestically produced large aircraft, such as pipeline parts and fasteners, filling a technological gap in the country. CITIC Pacific Special Steel’s subsidiary Qingdao Special Steel was certified as a national high-tech enterprise and a national enterprise technology centre, while Zhejiang Seamless Steel Tube was recognised as a national specialised and sophisticated “little giant”.
Expanding applications of artificial intelligence across business operations. The company independently developed over ten artificial intelligence (AI) model projects, including intelligent control of sintering water and multi-scenario modelling, effectively integrating these into businesses to enhance AI capabilities in the special steel industry. Xingcheng Special Steel became the first enterprise in the special steel industry to achieve Level 4 in an intelligent manufacturing maturity assessment. The company was also recognised as one of the “First Batch of Pioneering Enterprises in China’s Industrial Data Governance” and an “Excellent Case of Quality Improvement” by the Ministry of Industry and Information Technology. Daye Special Steel was named a “Digital Leading Enterprise” in 2024 by the Ministry of Industry and Information Technology. Qingdao Special Steel was acknowledged as one of the first excellence-level smart factories in the country. Additionally, two cases from Qingdao Special Steel and Yangzhou Pacific Special Materials were selected as “Typical Cases of Digital Transformation in Key Use Case of the Steel Industry” by the Ministry of Industry and Information Technology.
Building core technological capabilities. In 2024, CITIC Pacific Special Steel’s R&D investment accounted for 4.21% of total expenditure, an increase of 0.31 percentage points year on year. The company received 15 provincial and ministerial-level awards in science and technology, including the second prize of the National Scientific and Technological Progress Award for Tianjin Pipe, and the title of “Single Champion in Manufacturing” from the Ministry of Industry and Information Technology for Tianjin Pipe’s seamless steel pipes used in oil casing. A total of 476 patents were granted, including 162 invention patents and 20 international invention patents. The company participated in the formulation and revision of 28 domestic and international standards, including one standard from the American Society for Testing and Materials. It undertook 40 projects on a provincial or ministerial level and completed six key material R&D projects within the year.
Green development
In 2024, CITIC Pacific Special Steel was included in the MSCI China Index, fully integrating ESG concepts into the company’s strategic planning and management processes, significantly improving its ESG performance. The company secured leading ESG scores among Chinese steelmakers: 42 from S&P Global ESG, 2.9 from FTSE Russell, 78 from Refinitiv ESG and an A rating from Wind ESG, meanwhile achieving the highest AAA rating from the Metallurgical Industry Planning and Research Institute for ESG. CITIC Pacific Special Steel also independently developed China’s first “One Headquarters, Multiple Bases Dual-Carbon Information Platform”, which received compliance certifications for both the CBAM6 and PCF7.
CITIC Pacific Special Steel Technology Building and Xingcheng Special Steel Plant
Business highlights
Demonstrating stronger resilience throughout industry cycles. CITIC Pacific Special Steel consistently enhanced its market-oriented approach and user application technology research, deepening its presence in niche markets while actively fostering coordination between management and materials. The company achieved sales of 18.89 million tonnes over the year, including 2.202 million tonnes in foreign trade exports. Capitalising on market opportunities in industries such as bearings and new energy vehicles, the company strategically adjusted its product mix. Sales of bearing steel, P-series energy steel products and domestically produced automotive steel increased by 6%, 49.5% and 38% year on year, respectively. Additionally, sales of high-efficiency wire products such as bridge cables, spring wire and steel fasteners increased by 30%, 23% and 20% year on year, respectively. The 81 “little giant” projects collectively recorded annual sales of 7.38 million tonnes, marking 10% year-on-year growth. Sales of “Two Highs and One Special"5 products also increased by 23% year on year. The company strived to strengthen cooperation with Nanjing Steel in procurement, production, sales and management, complementing each other’s customer bases. Together, the two companies established a strong network in differentiated special steel product segments, thereby enhancing their brand influence.
Achieving significant results in key national projects. CITIC Pacific Special Steel continued to carry out reforms in its scientific and technological system, focusing on fundamental and cutting-edge research while accelerating breakthroughs in key material technologies. In March, the Tiefu-1 well in the Tarim Basin of Xinjiang exceeded a drilling depth of 10,000 metres, with all casing used for the first and second drilling phases supplied by Tianjin Pipe. In June, the Shenzhen-Zhongshan Link, a major project in the Guangdong-Hong Kong-Macao Greater Bay Area, officially opened to traffic. Steel wire rod produced by the company’s subsidiary, Xingcheng Special Steel, was used for the bridge’s main cables, while anchorage steel produced by Daye Special Steel was used for the underwater anchors of the Shenzhen-Zhongshan Link.
International layout
CITIC Pacific Special Steel actively planned its overseas development and launched project “Sail” to accelerate internationalisation and the development of a compatible talent pool. In 2024, the company conducted in-depth assessments of over 20 steelmaking facilities in Southeast Asia, the Middle East, North America and Europe, as well as resource suppliers in South America and Australia. This effort led to the establishment of an international strategic value chain based on a “Resources+Core Business+Distribution” model. The implementation prioritised mergers and acquisitions of tertiary stage operations, starting small and gradually scaling up with upstream processes, with key initiatives achieving notable progress.
Technological innovation
Substantial results in technological research and development. CITIC Pacific Special Steel developed the world’s largest continuous casting round billet with a diameter of 1320mm, breaking the world record five consecutive times. The company also launched the world’s first 120mm-thick high-resilience steel used for petroleum refining. The 100mm-thick 9Ni steel once again surpassed thickness limits for nickel-based low-temperature steel used for pressure-bearing equipment. The company also developed the first batch of 1000mm-diameter special P92 continuous casting round billets, filling a gap in both domestic and overseas markets. Additionally, the company successfully developed low-manganese, niobium-free DH36 ship plate steel, which obtained the marine steel certifications of nine leading classification societies. The company’s high-speed rail bearing steel passed the acceptance inspection by the Ministry of Science and Technology of China. The company also successfully developed key core steel components for domestically produced large aircraft, such as pipeline parts and fasteners, filling a technological gap in the country. CITIC Pacific Special Steel’s subsidiary Qingdao Special Steel was certified as a national high-tech enterprise and a national enterprise technology centre, while Zhejiang Seamless Steel Tube was recognised as a national specialised and sophisticated “little giant”.
Expanding applications of artificial intelligence across business operations. The company independently developed over ten artificial intelligence (AI) model projects, including intelligent control of sintering water and multi-scenario modelling, effectively integrating these into businesses to enhance AI capabilities in the special steel industry. Xingcheng Special Steel became the first enterprise in the special steel industry to achieve Level 4 in an intelligent manufacturing maturity assessment. The company was also recognised as one of the “First Batch of Pioneering Enterprises in China’s Industrial Data Governance” and an “Excellent Case of Quality Improvement” by the Ministry of Industry and Information Technology. Daye Special Steel was named a “Digital Leading Enterprise” in 2024 by the Ministry of Industry and Information Technology. Qingdao Special Steel was acknowledged as one of the first excellence-level smart factories in the country. Additionally, two cases from Qingdao Special Steel and Yangzhou Pacific Special Materials were selected as “Typical Cases of Digital Transformation in Key Use Case of the Steel Industry” by the Ministry of Industry and Information Technology.
Building core technological capabilities. In 2024, CITIC Pacific Special Steel’s R&D investment accounted for 4.21% of total expenditure, an increase of 0.31 percentage points year on year. The company received 15 provincial and ministerial-level awards in science and technology, including the second prize of the National Scientific and Technological Progress Award for Tianjin Pipe, and the title of “Single Champion in Manufacturing” from the Ministry of Industry and Information Technology for Tianjin Pipe’s seamless steel pipes used in oil casing. A total of 476 patents were granted, including 162 invention patents and 20 international invention patents. The company participated in the formulation and revision of 28 domestic and international standards, including one standard from the American Society for Testing and Materials. It undertook 40 projects on a provincial or ministerial level and completed six key material R&D projects within the year.
Green development
In 2024, CITIC Pacific Special Steel was included in the MSCI China Index, fully integrating ESG concepts into the company’s strategic planning and management processes, significantly improving its ESG performance. The company secured leading ESG scores among Chinese steelmakers: 42 from S&P Global ESG, 2.9 from FTSE Russell, 78 from Refinitiv ESG and an A rating from Wind ESG, meanwhile achieving the highest AAA rating from the Metallurgical Industry Planning and Research Institute for ESG. CITIC Pacific Special Steel also independently developed China’s first “One Headquarters, Multiple Bases Dual-Carbon Information Platform”, which received compliance certifications for both the CBAM6 and PCF7.
1
Six major products: alloy steel bars, special medium and thick plates, special seamless steel tubes, forged steel, alloy steel wires and casting billets.
2
Five specialised production bases for premium specialty steel materials: Jiangyin Xingcheng Special Steel, Daye Special Steel, Qingdao Special Steel, Tianjin Pipe and Jingjiang Special Steel.
3
Two raw material processing facilities: Tongling Special Materials and Yangzhou Special Materials.
4
Two professional mills: Pacific Special Steel Suspension (Jinan) and Zhejiang Pacific Seamless Steel Tube.
5
“Two Highs and One Special” products: high-temperature alloy steel, ultra-high-strength steel and stainless specialty steel.
6
Carbon Border Adjustment Mechanism: The European Union has legislated that local importers in the EU must provide CBAM carbon emissions of products in accordance with the requirements of CBAM accounting standards when importing products from seven major industries such as steel and aluminium.
7
Product Carbon Footprint: An internationally renowned product life cycle assessment method.