Algeria is preparing a new development phase for the El Hadjar steel complex in Annaba, with China Baowu participating in plans to improve the plant’s future production structure and competitiveness.

The discussions are centered on upgrading steelmaking operations, improving efficiency and making greater use of domestic raw materials. Rather than focusing only on existing equipment, the project is expected to examine a broader restructuring of the Annaba facility and the production of more value-added steel products.

China Baowu is expected to submit a technical framework by the end of September, which could form the basis for future investment and cooperation between the two sides.

The initiative is also part of Algeria’s wider effort to strengthen links between local iron ore resources, domestic steel production and downstream industries, while supporting greater self-sufficiency in steel supply over the longer term.