Our Journey in Steel
For more than three decades, Kennen Steel's parent company has grown alongside with the development of China's steel industry.
From early steel processing and recycled steel utilization to steel trading, inventory-based supply, and supply chain integration, the business has steadily expanded its capabilities across the full steel value chain.
Through long-term partnerships with major steel mills and supply partners, the parent company has built a stable and reliable supply network, serving the infrastructure and advanced manufacturing sectors across China, while gradually extending its reach into international markets.
Three Decades of Steel Experience
The founder entered the steel industry through steel processing operations, producing flat steel and square pipes using recycled steel resources and ship plates.
Products were supplied to the United States for highway guardrail systems, with monthly volumes reaching 3,000-5,000 tons, providing early experience in international supply and quality control.
Yinzhou Trading Co., Ltd. (銀洲) was established as the founder's first dedicated steel trading company, marking the formal entry into steel distribution.
Through cooperation with Ansteel Group Corporation Limited, one of China's major steel producers, the business began supplying H-beams to the South China market, establishing a stable regional distribution network.
Monthly deliveries reached approximately 20,000 tons, laying the foundation for large-scale steel trading operations.
The business established operations in the largest steel trading market in South China, where a full spectrum of steel products is available, enabling more efficient one-stop sourcing for customers, marking a key step in its market positioning.
Product offerings expanded to include strip steel, flat steel, and cold-rolled sheets, further enhancing product depth and enabling the business to serve a broader range of manufacturing clients.
An inventory-based supply model was introduced, maintaining approximately 10,000 tons of inventory across more than 3,000 square meters of warehouse and operational space, achieving stable and continuous supply in cooperation with China Minmetals Corporation.
Entry into the New Steel Market & Inventory Expansion
Operations first expanded into a new steel market, integrating a wider range of steel product categories. This market has since become China's largest, most comprehensive, and highly standardized bulk commodity trading platform, significantly improving procurement efficiency and resource integration capabilities.
The business simultaneously expanded into hot-rolled steel coil distribution, establishing a regular inventory of approximately 5,000 tons, strengthening supply capability for manufacturing clients.
Total stock of angle steel, channel steel, I-beams, and H-beams reached approximately 30,000 tons, complemented by more than 15,000 square meters of warehouse and operational space, further enhancing the company's ability to support large-scale construction and industrial projects.
Stability Under Pressure
In 2014, steel prices reached a ten-year peak before a sudden and sharp decline triggered severe market dislocation and systemic risk exposure. The collapse of mutual guarantee financing structures led to widespread bankruptcies, restructurings, and tightened bank lending, pushing the entire steel trading industry into a prolonged downturn.
Despite this, Yinzhou leveraged its strong operational foundation, supported by healthy cash flow and a stable customer base, to navigate the crisis with strong resilience and operational stability, while continuing to position for long-term growth.
This period further strengthened operational discipline and deepened supply chain partnerships, with monthly deliveries consistently supporting over 100 industrial clients across the region.
Lingye Group was established to support diversified development, integrating Yinzhou Trading, Puhui Steel Trading, and Linye Supply Chain under a unified group structure, laying the foundation for future international business development.
Monthly trading volume of hot-rolled and cold-rolled steel coils reached approximately 30,000 tons, while section steel inventory totaled 50,000 tons, with warehouse exceeding 30,000 square meters, supporting further expansion in scale and supply capacity.
Product Portfolio Enhancement
Through collaboration with strong industry partners, the business expanded into square and round pipes, further strengthening its product offering.
Daily overall trading volume remained stable at 800-1000 tons, with annual steel trading volume exceeding 300,000 tons.
The company also became a key price contributor to Mysteel, a leading steel market data provider, whose pricing data is widely referenced by international buyers and traders.
Kennen Steel International Co., Ltd. was established, marking the company's expansion into global steel trading operations.
This milestone represents a strategic step from a well-established domestic supply network to an international trading platform, built on decades of industry experience, stable supply channels, and long-term partnerships across the steel value chain.
Building on over three decades of experience and a reliable supply network, Kennen Steel will continue to expand its global presence and strengthen supply chain integration.
By deepening partnerships with steel mills and global clients, and leveraging digital tools for pricing and inventory management, the company aims to deliver efficient, reliable, and high-quality steel supply solutions to international markets.