The bouncing obstacles that have been impeding China's second-largest steel producer by output, Anshan Iron and Steel Group (Ansteel) from setting up plants in the US are now eliminated, and the project is expected to steam up in September, according to media reports citing a senior official from Ansteel.

In May, Ansteel inked a memorandum of understanding with the US steel firm Steel Development Company Llc (SDCO), to jointly invest in a $175 million rebar facility that is being built in Amory, Mississippi. According to the agreement, Ansteel would hold 20 percent stakes in the plants.

But later occurences showed a US's willingness to block the would-be investment cooperation. In July, a group of 50 US Congressmen wrote a letter to Treasury Secretary Timothy Geithner in which they required a probe into the Chinese steel firm over concerns of national security and e mployment.

On the contrary, Ansteel's official said that the purpose of the firm was just to help supply the demand and market there. He also said that a 20 percent stake-control was not sufficient to put the Chinese counterpart onto management and that there were not threats to the US's national security.

Industry analysts said that the project, scheduled to start in September, provides a clearer example of Chinese firms' overseas expansion, and that it (Ansteel) will not only profit from capital but also from technologies and innovation.