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Pesmel supplies packing lines to Baosteel Group

Pesmel has signed a contract of two coil packing lines and logistic system to Baosteel Zhanjiang Iron & Steel Industry. Automated lines will be delivered to Baosteel’s mill situated in Zhanjiang City, Guangdong Province in China. The start-up of the lines will be in summer 2017.

Baosteel is building a new cold rolling mill to Zhanjiang City. The mill will produce 1.65 million tons of medium and high-end sheets, including high-grade products like auto sheet and home appliance sheet.

“Baosteel is widely known as high grade steel producer emphasizing efficiency, energy savings and environmental friendliness in their production.” points Pesmel’s China Area Manager Ms. Liu. Following these values Pesmel and Baosteel have been researching coil packing materials and technologies together since 2008, aiming to develop future packing concept. “Our research has included tests in laboratory and also in practice, for example, packed coils have been shipped from Finland to China, where they were opened in good condition.” tells Ms. Liu.

“When Baosteel approached us with this development idea, we found it very suitable to our philosophy.” says Pesmel’s Vice President Mr. Suksi. “From the beginning the plan has been to create a concept that can be expanded to other mills.” he continues.

While Pesmel has been focusing on technology, Baosteel developed the packing materials and operations. In packing technology Pesmel concentrated on two things, moisture protection and packing cost savings without compromising in packing quality.

“For moisture protection we use TEW (through-eye wrapping) technology. In this method crepe paper and PE film are wrapped to the coil simultaneously. The crepe paper absorbs the moisture inside the coil, as stretched PE film forms an airtight package that protects the coil from outside moisture.” explains Mr. Sami Koivuluoma, Product Manager in Pesmel. TEW technology has proven to be the most effective moisture protection available in the market. Packing materials are all 100% recyclable and there is no need for any chemicals.

Packing material savings were achieved by automating the packing operations, which enabled the optimal usage of packing materials. “The coils arriving to the packing line are measured and all packing materials are individually cut according to coil size. This kind of optimization can easily reduce packing material costs 20-30%. That brings big annual savings to steel mills, and on top of all it also improves the packing quality.” says Mr. Koivuluoma.

System description

The delivery includes two automated coil packing lines and logistic systems integrating lines to production and to storages. One packing line is able to pack 20 coils in an hour.

Packing lines pack heavy-duty export packages with complete moisture and mechanical protection. The line includes:
- inspection
- TEW (through eye wrapping)
- body wrapping
- automatic edge protection forming machine
- circumferential strapping and trough eye strapping
- automatic labeling


Baosteel is one of the biggest steel producers in the world with crude steel production of 43 million tons in 2014. The company has a workforce of 130,000 spreading all over the globe.

Baosteel, with iron and steel as its main business, manufactures premium steel products with high technologies and a high added value and fosters three major product categories, namely carbon steel, stainless steel and special steel. Company’s products are produced to the domestic market as well as exported to more than forty countries and regions in Asia, Africa, Europe and America, extensively applied to the industries such as automobile, household appliances, petrochemical, machinery, energy, transportation, metalwork, aeronautics and astronautics, nuclear power and electronic instruments.



Pesmel Oy is an international expert in material handling. Company’s highly automated handling, packing and storaging systems improve mills’ internal logistics and maintains their product quality during transportation. Pesmel’s two main customer groups are metal and paper industry.

During nearly four decades, Pesmel has delivered over 400 handling and packing projects and approximately 120 storage systems. The company employs over 150 professionals, of which 100 are situated in Finland.