Hubei Province-based Chinese steelmaker Wuhan Iron and Steel (Group) Corp.has announced that it plans to issue short-term bonds worth RMB 6.3 billion ($1 billion), in a first phase of short-term bond issuance for the current year. The issuance period will be 365 days.

Of the raised funds, RMB 2.3 billion ($363 million) will be used mainly to supplement the needs of working capital and daily expenditure, such as purchases of raw materials like iron ore and coke, while the remaining RMB 4 billion ($637 million) will be used to repay debts.