Maanshan Iron & Steel Releases 2026 Action Plan Targeting Cost Reduction, Efficiency Gains and Higher Shareholder Returns

Bulletin Express04-24

Maanshan Iron & Steel Company Limited has published a comprehensive “Quality Improvement, Efficiency Enhancement and Return Maximisation” action plan for 2026, detailing cost-control measures, product-mix upgrades, governance enhancements and investor-oriented initiatives. Key elements are summarised below.

1. Operational Quality • Full-chain cost control will address four main areas—iron-making upstream, energy, logistics and product quality—to establish a low-cost competitive edge. • Efficiency upgrades will focus on capital, asset, manpower and operational metrics through the “Three Reductions and Three Improvements” programme. • Core management systems covering capability building, compliance, safety and environmental protection will be reinforced to underpin performance gains.

2. Development of New Quality Productive Forces • Two subsidiaries, Magang Limited and Anhui Changjiang Steel, are the focal points for technological and product innovation. – Magang Limited plans to lift its R&D investment ratio to 4.5%, target sales of 1.67 million tonnes of newly trial-produced products and generate RMB400.00 million in excess gross profit. – Domestic sales of high-speed railway wheels are expected to exceed 3,000 pieces, while new aluminium-silicon hot-stamped steel, high-end pressure-vessel plates, ship plates, energy steel and extra-large H-section steel will expand the premium portfolio. – Changjiang Steel aims to sell no fewer than 400,000 tonnes of high-strength steel.

3. Corporate Governance • A Board Diversity Policy, a revised director remuneration system linked to performance and risk control, and an ESG Enhancement Plan will be introduced to strengthen governance effectiveness.

4. Accountability of the “Key Minority” • Performance-linked remuneration for senior management and targeted training will integrate operating results, risk management and reform objectives, ensuring alignment with the 2026 targets.

5. Shareholder Returns • Profit distribution will be formulated with a view to maximising shareholder interests, and the company will periodically review its Valuation Enhancement Plan while responding promptly to market rumours.

6. Investor Communications • The company pledges timely, accurate disclosures via the Shanghai and Hong Kong stock exchanges and will host at least three online results briefings annually. Enhanced e-meeting tools will facilitate minority shareholder participation in general meetings.

The company emphasises that the plan reflects current conditions and may be adjusted in response to market or policy changes; investors are advised to consider potential risks accordingly.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

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