Benxi steel plant is one of the oldest metallurgical centres in China and has been operating for more than 100 years. Benxi Iron and Steel Group is owned by Liaoning provincial government. Benxi steel plant has 11 Mtpa crude steel capacity and produces mainly flat products (more than 90% of its total production) for cars, ships, containers, home appliances, and pipelines. The plant is a low cost producer and located within the first quartile on the Chinese steelmaking cost curve. The main cost driver for this is Benxi's control of a significant amount of low cost captive iron ore.