Mechel to open its office in Beijing

Mechel JSC has announced it opens its office in Beijing. The company hopes to avoid the obstacles that China sets on the way Russia's coal export and to build new routes for rail transportation of its export cargoes, primarily coking coal and ferroalloys, "Hooter".
 
"In northern China near the border, there are many mining enterprises concentrated, and the Chinese to support their producers do not want importing raw materials to the region," said a representative of the Mechel company.

Meanwhile, if consumers in China bought coal of Mechel, the cost of their products would be much lower due to lower prices and better quality of Russia's coal. Therefore, the company as other Russian exporters have to transport coal via Far Eastern ports to central and southern China, where Russian coal remains in demand.

Mechel is currently shipping coal through the port of Posiet (Primorskiy Kray), but the company’s capacity allow transportation by rail via border crossings since traffic jams at the entrances to ports are still quite often, the source said.

Mechel is one of the leading Russian companies. The company’s business is focused largely on mining, steel, ferroalloy and energy. It includes companies in 12 Russian, as well as in the United States, Kazakhstan, Romania, Lithuania and Bulgaria. Mechel company integrates producers of coal, iron ore, steel, rolled products, ferroalloys, production high conversion, thermal and electrical energy. The Mechel has three commercial ports, and its own transport operator. Mechel products are sold in Russian and overseas markets.

(Source: Port News)