In order to better promote cooperation with third-party markets, the National Development and Reform Commission recently published the English-Chinese edition of the Third-Market Market Cooperation Guidelines and Cases. The project for the construction of the steel mill complex in Azerbaijan, jointly implemented by CAMCE and the Danieli Group, was chosen as a typical case.
The Guidelines and Cases lists 21 cases of five categories, namely products & services, engineering cooperation, investment cooperation, industry and financial integration, as well as strategic cooperation, in the way of "dissecting a sparrow". The project for the construction of the steel mill complex in Azerbaijan CAMCE is under the category of engineering cooperation which means the joint projects carried out by Chinese and foreign companies in third-party markets through EPC and joint bidding.
In December 2018, CAMCE signed the EPC contract for the project with the Azerbaijan’s Steel-making Company, Baku Steel in Beijing. The project is to build a new comprehensive steel plant with the annual output of 1.25 million tons of direct reduced iron ( DRI) and 700,000 tons of plate products. The construction contract is set to last 42 months at a total value of USD 1.17 billion. In March 2019, CAMCE and Italy’s Danieli Group exchanged equipment purchase contracts in Rome, witnessed by leaders of China and Italy. CAMCE is the general contractor of the turnkey project. Danieli Group is responsible for the supply of direct reduction plant, hot rolling and steel making plant as designated technology partner, while CAMCE is responsible for the pelletizing plant, cold rolling plant and public works of the plants.
The project is the fruit of Sino-Italian cooperation in third-party markets and of symbolic importance. CAMCE enhances cooperation in infrastructure building between China and Italy by putting into practice the concept of innovation development, coordination, ecology, openness and sharing. CAMCE will continue to focus on the Belt and Road Initiative, adhering to the principle of consultation, synergy and sharing, and will promote progress of Sino-Italian cooperation in the direction of high quality development.
