In a key development on the industrial front, Pakistan and Russia have signed a protocol to restore and modernise Pakistan Steel Mills (PSM) in Karachi, reaffirming their long-standing industrial partnership.
The agreement was signed at the Pakistan Embassy in Moscow by Saif Anjum, Secretary of Industries and Production of Pakistan, and Vadim Velichko, General Director of Industrial Engineering LLC from the Russian side, in the presence of SAPM Haroon Akhtar Khan and Pakistan’s Ambassador to the Russian Federation Muhammad Khalid Jamali.
The project aims to restart and expand steel production, marking a new chapter in bilateral cooperation.
“Reviving PSM with Russia’s support reflects our shared history and commitment to a stronger industrial future,” said SAPM Khan.
Last month, Khan in a chat with Business Recorder, said that “technical experts are analysing the state of the present machinery of PSM and if 50% machinery is useable, the government is surely going to restore the PSM with Russian cooperation”.
He said back then that the PSM owned 18,660 acres of land, out of which 710 acres are under consideration for the setting up of a new steel plant.
According to officials, although Pakistan is rich in iron ore, with estimated reserves of 1.887 billion tons, it still imports about $2.7 billion worth of steel every year.
Officials said that domestic steel production is insufficient to meet all demand, with a supply gap of 3.1 million tons last year.
Originally built with Soviet assistance in 1973, PSM remains a lasting symbol of Pakistan-Russia ties.
