Chinese firm expresses interest in Pakistan Steel Mills sale

Published
48

A Chinese firm has expressed interested in the sale of Pakistan Steel Mills (PSM) as the PML-N speeds up the privatisation process on the back of International Monetary Fund reservations over the matter.

China's Baosteel Group has written a letter to the federal government expressing its interest in acquiring PSM, sources told DawnNews.

The privatisation process is likely to be completed during the ongoing financial year 2016-17, the sources said.

Baosteel Group has 19 subsidiary companies and total annual production of the company stands at 34 million tonnes.

The sources added that the IMF has expressed reservations over the slow process of privatisation of PSM, after which the government decided to complete the process on a fast-track basis by June 2017.

They said that the federal government has been trying to minimise PSM's financial constraints. They claimed that the Sindh government has so far shown no interest in acquiring PSM.

It is worth mentioning here that PSM has not been functioning due to suspension of gas supply over non-payment of outstanding bills worth Rs39billion to Sui Southern Gas Company Limited. Additionally, above 14,000 PSM employees have been deprived of their salaries for the last five months.

Follow Dawn Business on X, LinkedIn, Instagram and Facebook for insights on business, finance and tech from Pakistan and across the world.

Opinion

Editorial

Fixing bond markets
Updated 01 Oct, 2026

Fixing bond markets

Pension funds, insurance companies, mutual funds, retail investors, and eventually, foreign investors must become bigger participants in the market.
Call centre rackets
01 Oct, 2026

Call centre rackets

A NUMBER of recent raids conducted by the authorities in different cities point to the growing threat fraudulent ...
Homeward bound
01 Oct, 2026

Homeward bound

FIVE months after Somali pirates captured an oil tanker carrying a 19-member multinational crew, Somali maritime...
Kashmir unresolved
Updated 30 Sep, 2026

Kashmir unresolved

The just solution lies in India addressing the issue through a trilateral dialogue involving the legitimate representatives of the Kashmiri people and Pakistan.
Water shortage
30 Sep, 2026

Water shortage

THAT the country is entering the Rabi season with an anticipated water shortage of nearly 25pc, the lowest carryover...
Young hearts
30 Sep, 2026

Young hearts

THE observance may have passed, but the message of World Heart Day should not fade with it. The occasion is a useful...