"3, 2, 1... power on!" At 10 p.m. on June 9, in Panzhihua Gangcheng Group Ruigang Industry Co., Ltd., a production workshop that had been shut down for nearly ten months resumed operations, marking the full-scale production of 30,000 tons of steel products for Lao enterprises. By capitalizing on the China-Laos Railway service, the company has deepened and accelerated the implementation of the province's "Advancing Southward" strategy, while simultaneously achieving a crucial step in its operational turnaround through this key order.
Ruigang is a restructured local enterprise based in Panzhihua, specializing in the production of primary steel raw materials, such as continuously cast products. Established in 2004, the company achieved a peak annual production capacity of nearly 600,000 tons during its most productive years. Amid persistently weakening domestic and international market demand, the enterprise, like many Chinese steel mills, has weathered two complete industry cycles. It has remained in a production suspension state since August of last year.
Panzhihua occupies a strategic node on the Chengdu-Chongqing region's shortest land passage to South and Southeast Asia. However, the persistent inability of local enterprises to expand their products into international markets has remained a pain point for the Panzhihua Municipal Bureau of Commerce, the industry's competent department. Since the second half of last year, the bureau has, on the one hand, established a special working group. This team has taken the lead in organizing five coordination meetings between Gangcheng Group and railway departments, striving to secure freight capacity on international rail services for steel product transportation. On the other hand, bureau officials made four dedicated trips to Chengdu to pursue the detailed implementation of the New International Land-Sea Trade Corridor rail policies. Their efforts successfully promoted the inclusion of 20-foot containers in the policy coverage, significantly reducing logistics costs for local enterprises. Crucially, the dedicated Gangcheng Group freight train on the China-Laos Railway "Panzhihua-Vientiane" route—launched last year and now operating at stable, mature capacity—has created enormous business opportunities for the company, accelerating its expansion into southern overseas markets.
The policy dividends plus channel advantages are being swiftly converted into corporate competitiveness. In May this year, targeting the overseas market, Ruigang conducted comprehensive research on Lao customers' special requirements for product specifications, packaging, and shipment. It successively overcame the difficulties in aspects such as production organization, cutting and processing, and customs quarantine, reached a mutual recognition of technical standards with a certain steel company in Laos, and ultimately secured the signing of the 30,000-ton order. Under the current plan, the first batch of 3,200 tons of steel products will be shipped via the China-Laos Railway in June this year, with efforts to completely deliver 30,000 tons of steel products in September. The successful execution of the 30,000-ton order has enabled Ruigang to resume production operations, brought approximately 300 employees back to work, and spurred the joint recovery of upstream and downstream enterprises in the industrial chain, thereby generating approximately 20 million yuan in combined direct and indirect tax revenue. A leading official of the Panzhihua Municipal Bureau of Commerce stated that in the next step, taking Laos as a pivot, the city will encourage and support more enterprises to expand into overseas markets. Meanwhile, it will strengthen cooperation with Yunnan Province, Liangshan Prefecture in Sichuan, and other areas to gradually establish Panzhihua as a southbound freight train assembly center, cultivate a border industrial belt with an annual output exceeding one billion yuan, and build import-export industry clusters for vanadium-titanium new materials, high-end equipment manufacturing, and other sectors.
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