At its peak, the steel mill contributed 40% of Smederevo's fiscal revenue and employed more than 5,000 workers. In addition, there are more than 1,600 local suppliers, indirectly providing more than 16,000 jobs. Many families have worked at the steel mill for generations.

Milo's troubles are gone

Entering the factory gate, you can see the huge slogan on the outer wall - "Pride of Serbia". "The steel mill is the economic lifeline of the city, and the life and death of the steel mill determines the rise and fall of the city." For the residents of Smederevo, the steel mill is a "dream factory". The turbulent changes in the fortunes of the steel mill over the years are an unforgettable memory for local residents.

Miroslav Radanovich, head of the Second Raw Fuels Section of the Purchasing Department of the steel mill, came to work at the steel mill 15 years ago. At the time, the steel mill had just been sold to a foreign company for $23 million and was doing fairly well. Milo thought that since he entered a large company, he would have a stable life guarantee. He imagined his future happy life, bought a plot of land, planned to build a house, and have children. Unexpectedly, after the outbreak of the international financial crisis in 2008, the steel mill soon went downhill. Orders kept dwindling, and it started to lose money year after year, and life became more and more difficult, even to the point where only one blast furnace was running and barely maintaining production. During that time, workers spent all day worrying about themselves and their families, with little hope in sight.

In 2012, things got worse. The foreign company announced the withdrawal of capital, and the Serbian government regained the ownership of the steel plant with 1 US dollar, while maintaining the operation of the steel plant, while looking for new investors. Although the steel mill has resumed production, due to aging equipment and other reasons, the output of steel for many years is less than 1/3 of the design capacity. Coupled with the single product and low added value, it will lose at least 120 million euros a year. In order to keep the mill afloat, workers' wages were cut twice. The workers knew in their hearts that a pay cut was inevitable, but they had no choice but to accept it. Life was really hard.

Milo's salary has been reduced, coupled with the failure to pay it on time, the bank that originally intended to provide him with a loan changed its mind, and he had to live in a half-baked house that had just been built. Just like that, Milo's dreams were shattered one by one. The huge pressure of life makes her, who has been married for 9 years, dare not make up her mind to have a child.

In April 2016, China Hegang Group Co., Ltd. signed a contract with the Serbian government to acquire the Smederevo Steel Plant at a price of 46 million euros and changed its name to "Hesteel Serbia Company". In the second month after taking over, in order to restore morale, the company issued bonuses to everyone. This gives Milo renewed hope in life.

When the management team of HBIS Group first arrived at the steel plant, they were faced with this scene: outdated equipment, a large number of equipment out of production and disrepair, the actual production capacity was less than one-third of the designed capacity; the enterprise management was almost in a vacuum state, and the employees were in a low mood. There were already 200 employees. Several technical backbones have left the company, more than 5,000 employees are on the verge of being semi-unemployed, and many employees have a very difficult life. The nearly 200-strong team carried out a comprehensive diagnosis of the problems in the steel mill. Through technological transformation, the steel mill has become a European enterprise with the application of converter gas recovery technology, the highest ratio of secondary utilization rate to self-generated power, and the lowest natural gas consumption in the industry. The second is to gather high-quality resources. Relying on the global marketing resources of Hegang Group, Hegang Saigang has obtained stable raw material resources and a broad international market.

At the end of 2016, after less than 8 months of hard work, the steel mills, which had been losing money for 7 years in a row, have made great improvements, and both production and sales have reached the highest level since 2010. In May 2017, Milo's daughter was born. The changes in the steel mill make Milo's troubles disappear, and his dreams are coming true one by one.

unforgettable moment

Looking out from the office of Maria Petritsch, a female employee of the steel mill, the giant logo of "HBIS Serbia" (HBIS Serbia) standing on the green field on the side of the road comes into view. Looking down at the foot, the Danube River flows endlessly, just like the endless historical past of the Serbian nation.

However, Maria says the best "view" in her office is actually a precious photo. Maria specially downloaded it from the Internet and set it as her computer desktop. Whenever important guests come to her, she will always tell the origin of the photos. It was two months after the establishment of HBIS Serbia, when Chinese President Xi Jinping came to visit the steel plant, and the city of Smederevo was crowded. As soon as the team entered the steel mill, they entered a sea of enthusiasm. The then President and Prime Minister of Serbia warmly greeted him at the gate of the steel mill. Steel mill workers and their families eagerly waited and welcomed it.

Maria's passionate remarks also revealed a small detail: at that time, everyone spontaneously put the five-star red flag on the device. Later, these small "decorations" have been preserved. "This is our way of expressing our friendly feelings to China," she said. "We feel very good after HBIS came here. The workers' wages, working conditions and exports of the steel mill have all improved, and everyone is very satisfied."

Maria's opinion represents the voice of the employees, and many people said emotionally: "With the arrival of Chinese friends, our factory has improved, and our life has hope." Working in Smederevo Steel Plant Goran Simic, who has worked for more than 20 years, said: "It is our pride and honor that Chinese leaders can come to our steel plant! My colleagues and I are full of hope for the future. I have two sons, and I am optimistic about HBIS. I hope my children can also come to work in the steel mill in the future." Later, this wish came true, and many "Second Generations" of Saigang entered the new Saigang through open recruitment. At present, HBIS Serbia has only 9 Chinese stationed personnel, and the remaining more than 5,000 employees are almost all locals. There are also several Serbian colleagues serving as company executives.

Xi Jinping pointed out: "The cooperation between Chinese and Serbian enterprises has opened a new chapter in production capacity cooperation between the two countries. This is not only a continuation of the traditional friendship between the two countries, but also a manifestation of the two sides' determination to deepen reform and achieve mutual benefit and win-win development. Chinese enterprises will definitely cooperate with The Serbian counterparts cooperate sincerely. I believe that with the close cooperation between the two sides, the Smederevo Steel Plant will surely regain its vitality and play an active role in increasing local employment, improving people's living standards and promoting Serbia's economic development."

Today, in the tall and spacious hot-rolling workshop, the machines are roaring and steaming, and the steel being rolled on the production line whizzes past from time to time. After going through ups and downs, Smederevo Steel finally found hope to re-energize its cooperation with China and opened a new page in its history.

Energizing DreamWorks

Song Sihai, one of the first managers to rush to Hegang Saigang and executive director of Hegang Saigang, said: "To manage an old steel plant thousands of miles away in Serbia, the most difficult thing is to win the recognition and support of the Serbian employees."

The first step to earning respect and support is to become deeply involved. "Don't be a high-ranking boss, don't be a bossy boss, get the company up as soon as possible, and let the employees live a good life!" This is the goal Song Sihai set for himself. He declined the offer of special cars, bodyguards and secretaries provided by the Serbian side to corporate executives. Like local employees, he carpooled to work, clocked in to the factory, ate at the staff cafeteria together, devoted himself to his busy work, and continued to strive to be the first in production. Wire.

The steel mill is prosperous, and the city is prosperous. The acquisition of Hegang Group not only restored the vitality of the steel mill, but also drove the prosperity of the entire city.

"When the steel mills were in the worst condition, they encountered various problems every day, and people didn't know whether there would be jobs the next day. The good news is that Chinese companies have come. They continue to increase investment, strengthen management, and cost It went down and the efficiency went up. Now my income has increased by 30%, and everyone is very confident about the future,” said Vladimir Ilic, an employee of the steel mill.

Paita Vasco's children have been out of work at home. With the improvement of the efficiency of the steel mill, the local service industry has also been boosted, and several children have found jobs: "The arrival of HBIS has changed the fate of our whole family." For the development of the steel mill, employees are happy to see the development of the steel mill. in the heart. Even the mayor of Smederevo praised: "Thanks to Hegang Group for bringing the Smederevo steel plant back to life, employees finally don't have to worry about losing their jobs."

In order to better promote local economic development, HBIS Serbia encourages local contractors and suppliers to participate in project bidding for investment, overhaul, and renovation projects, and gives priority to local companies under the same conditions. long-term strategic partnership. The rebirth of the Smederevo steel plant has not only benefited the employees, but also restored the old city's vitality. The city's annual fiscal revenue has more than doubled, and the unemployment rate has dropped from 18% to 6%. When the news of the rebirth of the Smederevo Steel Plant was known to the United States and the European Union, the United States and the European Union suddenly became sour. On September 14, 2019, CNN issued an article claiming that the United States and the European Union saw that Serbia was transformed from the former The traditional allies of the West are transformed into new friends of the East.

In 2018, HBIS Serbia produced 1.769 million tons of steel and achieved sales revenue of US$1.06 billion. The rebirth of the steel mill had a positive impact on the economic and social development of Smederevo and stimulated the vitality of this ancient city.

Now, on the 1st and 15th of every month, colleagues in the steel mill say to each other, "See you at the supermarket tomorrow!" Because on these two days everyone can get their wages on time. The stability and growth of income gives people the confidence to plan their future and look forward to a better life. Thanks to the development of steel mills, local education, health care, transportation and other living conditions have been significantly improved. Even more gratifying is that the birth rate of Smederevo now ranks first in Serbia.

Newborns bring hope for the future. The rebirth of the steel mill has added confidence and strength to the city of Smederevo to regain its prosperity and development. People here often say, "Friends are the fruit of time". Indeed, time will witness the success of Chinese and Cypriot employees

Work together to create a better tomorrow for "Dream Factory".

As China's first production capacity cooperation project in the Balkans of Central and Eastern Europe, HBIS has become a model project for the Belt and Road Initiative. As Serbian President Vucic said: "Smederevo Steel Plant's resurrection is a successful example. It is a strong testament to the sufficient jobs and economic growth that the Belt and Road Initiative has brought to Serbia."Editor/XuNing