Pakistan and Russia are targeting 2027 to begin construction under the Pakistan Steel Mills (PSM) revival and expansion project.
The update was shared during a meeting of the Public Accounts Committee sub-committee, which reviewed the Ministry of Industries and Production’s Audit Report for 2019-20. Briefing the panel, Industries Secretary Saif Anjum said construction would start after the signing of an engineering, procurement and construction (EPC) contract with the Russian side.
He added that the Pakistan-Russia Inter-Governmental Commission signed a second protocol in November 2025 to advance the revival plan and agreed to prepare a bankable EPC contract.
According to the secretary, Russian firm Industrial Engineering LLC has carried out a technical audit of Pakistan Steel Mills and requested an asset valuation, which is currently estimated at about USD 139 mln. Pakistan Steel Mills (PSM), located near Port Qasim in Karachi, was established in 1981 and has been idled since 2015 due to prolonged financial losses.
