For more than 10 years, Armco Metals Holdings, Inc. has provided metal and non-ferrous metal ore sales and distribution solutions to companies in China’s growing steel production industry. We have established an extensive sales channel consisting of more than 100 small- and medium-sized metal manufacturing companies and more than 10 international metal suppliers from countries such as South Korea, India, Australia, U.S.A. and Brazil, etc.. But in recent years, countries across the globe have become more environmentally conscious, with China in particular pushing for alternative, sustainable options for steel production. One of the government’s green initiatives calls for the consumption of recycled scrap steel to increase from 15% in 2010 to 20% by 2015. Even now, the fragment recycling market in China is only capable of meeting 60% of the total recycled scrap steel demand.
Recognizing the potential, Armco Metals has aligned itself with this policy and created our subsidiary, Armet Renewable Resources, to take advantage of the situation. Strategically located in Lianyungang, Armet Renewable Resource has the capacity to source, process, and distribute one million metric tons of recycled scrap steel annually, using a state-of-the-art Texas Shredder Lindeman System. The facility is situated on 32 acres, roughly five miles from the city’s deep-sea port, which is one of China’s largest. Lianyungang itself is specified as the waste iron and scrap steel recycling processing pilot region for China, and, Jiangsu province being flanked by 11 steel mills with combined annual production of 20 million metric tons, the facility is poised to capitalize on the rapidly growing demand.
In addition, Armco Metals has plans to expand this operation over time, growing the current Armet Renewable Resource facility’s capacity to two million metric tons annually, as well as begin operations at another subsidiary, Armet (Lianyungang) Holdings, which will seek to take advantage of recycling steel scrap specifically generated by the world’s automotive industry.
By utilizing our existing sales and distribution network, Armco Metals has already established more than 100 relationships with steel companies that will be looking to increase the amount of recycled steel scrap they utilize in their steel production. This helps to position Armco Metals to become the largest, most efficient recycled scrap steel producer in the country, paving the way for further growth and revenue.