OREANDA-NEWS. April 29, 2011. A commitment made two years ago has become reality. This year, a new ferritic stainless steel product which Baosteel specifically tailors for domestic solar energy companies is successfully applied in the world's second largest solar energyenergy water heater manufacturer in Shandong and replaces traditional 304 stainless steel product. This not only solves the company's long term raw material cost trouble due to nickel price fluctuation, but also effectively improves the chloride ion resistance which is key to solar energy water heater, reported the press-centre of Baosteel.

In recent years, with the increasing state support to new energy industry, China's solar energy industry meets with new development opportunities, domestic market demand for solar energy water heaters is in rapid growth. Relevant data show that China's current annual production of solar energy water heaters have been over ten million units, with an annual growth rate of about 10%. Domestic solar energy industry is growing fast. However, there is a long-term trouble in the growing solar energy industry. Solar energy water heater requires high corrosion resistant liner, generally made with 304 stainless steel containing nickel. In recent years, due to sharp fluctuation of the international nickel prices, the price of 304 stainless steel is also in fluctuation. Stainless steel raw material cost has become the Growing Pain for domestic solar energy industry.

In 2009, in solar energy industry customer forum held in Baoxin, Ningbo, many customers expressed such a problem. The customer's problem is Baosteel's problem! Baosteel promised to solar energy industry customers to solve this problem. In september that year, Baosteel responded quickly; it set up production, sales&research team composed of stainless steel department, Ningbo Baoxin, Research Institute's stainless steel technology center and relevant departments in Baosteel International to develop new product which can replace the traditional 304 stainless steel.

That year, the production, sales& research team developed a low carbon, nitrogen ferritic stainless steel product with independent property and declared a national patent. Compared with traditional 304 products, this stainless steel material does not contain nickel, and strict sea-water test shows that its chloride ion corrosion resistance is much higher than 304 product. However, due to low carbon and nitrogen content, there is difficulty in smelting and rolling. With the help of the production, sales& research team, Baosteel overcame smelting and rolling technology bottlenecks, and optimized forming and welding performance. Last year, a customer in Shandong made first trial application of this new product. According to customer feedback, this product completely replaced traditional 304 steel and manufacturing cost was also reduced. This year, the customer's liner adopts this new Baosteel product material and it forms a good demonstration effect within the industry. Currently, several well-known domestic solar energy manufacturers will, after rigorous trial and testing, adopt this product in large volume from the second quarter on.