Fortescue to strengthen ties with China with eight new MoUs

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Fortescue Metals Group is signing eight Memoranda of Understanding (MOUs) with public and private steel mills from various provinces and municipalities across China on the sidelines of the inaugural China International Import Expo (CIIE).

The two day event, which is sponsored by Fortescue, will see the company sign MoUs with Baowu Steel Group, the largest steel group in China and recipient of Fortescue’s first cargo of ore 10 years ago and its Echeng subsidiary, as well as Hebei Iron and Steel Group, China’s second largest steel group.

The iron ore company will also sign MOUs with Rizhao Iron & Steel from Shandong Province, Minmetals Yingkou Medium Plate Co, and Lingyuan Iron and Steel from Liaoning Province, Baotou Steel (Group) Co., Ltd from Inner Mongolia Autonomous Region and Anyang Iron and Steel from Henan Province.

Chief Executive Officer, Elizabeth Gaines said the MoUs reaffirm the company’s strong relationship with its Chinese customers.

“As the lowest cost supplier of seaborne iron ore into China, Fortescue has enjoyed strong relationships with customers since our first shipment of iron ore a decade ago. The MOUs reaffirm our commitment to our customers and demonstrate our significant market presence in China. ”

“We are delighted to participate in this important exhibition and support the Australian National Pavilion, which demonstrates the breadth and depth of Australia’s strategic and economic relationship with China.”

“As the One Belt, One Road initiative continues to grow, the openness and mutual understanding established by our bilateral trade relationships will be critical to its success. Australia’s significant strategic partnership with China is built on the importance of trade and is a fundamental pillar in our relationships across the Asian region,” Ms Gaines concluded.