Two of China's leading stainless steel companies signed an agreement on strategic cooperation on Saturday, in the latest move to restructure the country's iron and steel industry.

The Shanghai Baosteel Group Corporation, a large iron and steel conglomerate, and the Taiyuan Iron & Steel (Group) Company Ltd., the largest stainless steel producer on the China's mainland, signed the agreement in Shanghai, vowing to enhance their respective technological innovation capabilities and improve enterprise management.

Under the agreement, the two companies will start with technological cooperation in each other's new stainless steel and plates project, and further explore new areas for cooperation.

"China's iron and steel industry has entered an important stage of strategic restructuring, which can help solve a series of problems in the industry," said Xie Qihua, Chairwoman of Shanghai Baosteel.

Steel industry experts say major iron and steel companies in China will restructure themselves based on their own particular advantage in technology, capital and management, to make the country's iron and steel industry more competitive in the global market.

Source: Xinhua