In July, Belarusian Steel Works announced that the plant will invest USD 160 million for building a tube & pipe assembly shop this year. Next year, as the plant’s Director General Nikolai Andrianov stated at a press conference in Minsk, investments for internal renovations will be as high as USD 235 million. The reconstruction endeavors at Belarusian Steel Works are among the largest investment projects in the entire country.
According to Director Andrianov, investor preferences currently lie in the metallurgical sector. Until recently, steel cord production attracted the greatest interest, as it increased four times in only four years. Steel production in 2006 will reach 2 million metric tons. In the first two quarters of the current year, investment in Belarusian Steel Works’ base capital increased 2.5 times compared to last year’s levels, rising to some USD 54.4 million.
At the present time, the plant strives to earmark a sizeable portion of its retail profits for internal reconstruction. In order to build the tube & pipe assembly shop, the plant secured long-term USD 185 million loans from both foreign and domestic banks. Belarusian Steel Works financed the USD 14 million cost of rebuilding the continuous wire mill no. 150 through an England-based bank.
Representatives of French, Swiss, and other foreign banks regularly come to Belarusian Steel Works to offer their services without any kind of state guarantees. “They simply trust our company,” Director Andrianov said.
“As the top executive of Belarusian Steel Works, I am often asked about the secret of my company’s success. Even during the most difficult economic downturns we’ve never disrupted our production plans,” Nikolai Andrianov described. “The key to our success is that we always keep up with the times and constantly upgrade our production lines. Today, we started the fourth stage of renovations at our plant. In four years, we intend to invest 475 million dollars in modernizing our enterprise.”
Belarusian Steel Works is the third largest company that supplies steel cord products worldwide. The plant works in tight contact with leading manufacturers of rubber products for automobiles. It is not surprising that every sixth car in the world uses Belarusian steel cord. In 2004, Belarusian Steel Works yearly cord output accounted for 15.8% of world total. Ongoing reconstruction efforts at the plant guarantee the increase in the share of its products internationally. By current estimates, the figure of Belarusian steel cord will likely top 20%.
CONTACT INFORMATION:
RUE "Belarusian Steel Works"
37 Promyshlennaya St.,
247210 Zhlobin, Gomel Region,
Republic of Belarus
Tel:(+3752334) 5-48-21
Fax:(+3752334) 2-47-05
E-mail: ofwork@bmz.gomel.by
In the United States, Bel-Kap-Steel, LLC represents the interests of Belarusian Steel Works. Bel-Kap-Steel, LLC was founded in January 1998 and is located in Miami, Florida.
Our clients are mainly in the tire, high-pressure-hose, wire, seamless pipes, and forge industries.
U.S. REPRESENTATIVE OFFICE:
BEL-KAP-STEEL, LLC
80 SW 8th Street # 2802,
Miami, FL 33130, USA
Tel: (305) 810-2828
Fax: (305) 810-2827
E-mail: bks@belkap.com