History of the RIzhao Steel Group
Du Shuanghua is a world-class investor from China. The 57-year-old is estimated to have a net worth of 1.4 billion USD. He is the current founder and CEO of Rizhao steel holding group. He is also a philanthropist who has supported youth cases through private donations.
Rizhao steel holding group is the 26th largest steel producer globally, going by 2019 statistics producing approximately 14 million liquid steel annually. The value shows a high-rate conversion of iron ore to steel with high efficiency and speed. Read more HERE
Du Shuanghua and the Rizhao Steel Holding Group have come a long way. The company was established in 2003. The time was good, and the company recorded positive growth. Later on, in 2007, the company signed a contract with Mt Gibson to purchase iron ore. The arrangement was beneficial to the two parties in that the Rizhao holding got the raw materials, while Mt Gibson received financial benefits.
However, good times did not last long for the Rizhao group. Business politics took over, and the Shandong steel group acquired Rizhao iron and steel. The latter company was a non-state company owned by a state-owned competitor. Du Shaunghua held most stakes at Rizhao before its acquisition. To stop the hostile takeover, Mr Du intended to sell a small percentage of his shares at a low cost to a Chinese business. However, the plan failed due to the buyer’s political career.
Later, Du Shaunghua sold his stakes in Rizhao holding to the Shandong group. This step was to see the merger and the restructuring did not affect his position in the company. However, the court ruled that Rizhao holding breached a contract with Mt Gibson which led to a loss of 114 million USD.
In 2021 Rizhao acquired 54% of Minmetals Yingkou, which made Rizhao the business owner. Yingkou group is a steel manufacturer specialising in producing various kinds of steel products, including carbon structural, building structural, pressure vessel, hull structural, and some other types. However, the Rizhao remains a company under the Shandong group.