Chinese steel manufacturer Baosteel has won a bid to supply steel to the ongoing nuclear coastal power plants (K-2 K-3) in Karachi, in what is being reported to be the “first export deal for China-designed, third-generation nuclear power technology”, Chinese media reported on Monday.
With the state-owned Baosteel supplying Pakistan with relevant resources for Karachi’s two upcoming nuclear power stations, Global Times reported that China is now the fourth nation in the world after the United States, France and South Korea to independently export third-generation nuclear power technology.
Prime Minister Nawaz Sharif inaugurated the coastal power projects at theKarachi Nuclear Power Plant (Kanupp) in 2015. The power plant is said to be the largest in the country and will generate 1,100MW electricity upon completion.
“The construction of K-2 and K-3 power plants will further strengthen the steadfast friendship between the two nations,” Nawaz had said.
The World Nuclear Association had earlier estimated the cost of the new project at nearly $10 billion.
Under the Chinese government’s plan for nuclear power, Baosteel has been developing steel for nuclear power plants since 2006.
Following the announcement, the shares of Baosteel closed at 6.50 yuan (94 cents) on Monday, down 0.76 per cent from Monday’s opening.
It is pertinent to mention that the National Tariff Commission (NTC) in February had imposed definitive anti-dumping duties on imports of galvanised steel coils and sheets in the range of six to 41 per cent.
On the request of domestic producers of galvanised steel coils and sheets, the NTC had initiated an investigation on Aug 11, 2015 against dumping of galvanised steel coils and sheets from China into Pakistan and its impact on the domestic industry.
During the last fiscal year, the Federal Board of Revenue (FBR) had proposed 10 per cent regulatory duty on import of iron and steel products estimating revenue generation of Rs1.7 billion during that fiscal year.
The government has already imposed 10pc regulatory duty on import of aluminum scrip which is used for manufacturing of aluminum alloys.