China’s Shandong Xinxu Group has expressed interest in a proposed steel-linked maritime industrial project at Port Qasim, as Pakistan seeks to strengthen domestic steel production and reduce reliance on imports, according to official statements.
The interest was discussed during recent engagements involving Pakistan’s Ministry of Maritime Affairs, with the Chinese side understood to be preparing a feasibility assessment covering technical, financial, and environmental aspects. No binding commitments have been announced, and any potential investment would remain subject to regulatory approvals and commercial viability.
The proposed corridor forms part of Pakistan’s broader efforts to reduce reliance on imported steel and raw materials, while improving value addition through recycling and downstream processing.
Announced last year, the Sea-to-Steel initiative aims to revive the long-idle Pakistan Steel Mills (PSM) ecosystem by developing the country’s first integrated maritime-steel corridor at Port Qasim, Karachi. The plan focuses on redeveloping the Iron Ore and Coal Berth (IOCB), unused since 2015, into a ship recycling and repair complex, including a floating dock capable of handling Aframax-class vessels. Recovered steel scrap would be recycled at PSM and other domestic steel producers. Authorities estimate the project could help cut Pakistan’s roughly USD 6 bln annual steel import bill by up to 20pct over the next decade, if fully implemented.
