Where does Shanghai Electric source its components?
China. Supply chain mapped to 40 inputs across 6 countries.
Yes. Shanghai Electric is organized in China, a covered nation under the FEOC rules, which makes it a foreign entity of concern for IRA clean-energy tax credit purposes. It is not named on any of the 3 federal restricted-party lists screened for this record (DOD Section 1260H, BIS Entity List, OFAC SDN List). Is Shanghai Electric a Foreign Entity of Concern?
Upstream sourcing exposure
29 in covered nations - 3 elevated, of 40 nodes.
Where inputs are mined and refined. Not a FEOC determination for the company -- see the federal list screening above.
Refining chokepoint
7 of 7 processing/refining steps in covered nations
Sourcing Concentration by Country
Sourcing risk across the graph
Where each input is mined or refined. Not a FEOC determination for the company.
Legend
Node Types
Sourcing risk
Relationships
Every mapped input in the Shanghai Electric supply chain
40 nodes, grouped by supply-chain tier. Sourcing risk describes where an input is mined or refined; it is not a FEOC determination for Shanghai Electric.
Producer (1)
| Input | Origin | Sourcing risk | Basis |
|---|---|---|---|
| Shanghai ElectricShanghai Electric Power Transmission & Distribution (SMEC), Shanghai, China | China | Covered nation | Chinese state-affiliated OEM of power transformers, GIS switchgear, and grid T&D equipment; China-domiciled = FEOC flagged. |
Component (8)
| Input | Origin | Sourcing risk | Basis |
|---|---|---|---|
| Transformer Core (CRGO laminations) | China | Covered nation | Magnetic core stacked from grain-oriented electrical steel laminations; the loss-critical heart of the transformer. |
| Windings (HV/LV coils) | China | Covered nation | Primary and secondary coils wound from electrolytic copper conductor (aluminum on some distribution units). |
| Solid Insulation (paper & pressboard) | Mixed | Elevated sourcing risk | Cellulose kraft paper and pressboard wrap windings; premium pressboard often from Weidmann (Switzerland) but converted in China. |
| Insulating Oil (dielectric fluid) | China | Covered nation | Naphthenic mineral oil provides insulation and cooling; refined largely in China for domestic transformer output. |
| Tank & Radiators (mild steel) | China | Covered nation | Welded mild-steel tank and cooling radiators/fins; 4-8mm plate, China-fabricated. |
| HV Bushings (OIP/RIP) | Mixed | Elevated sourcing risk | Oil/resin-impregnated-paper condenser bushings with porcelain or composite housing; global (MR/Germany) or Chinese suppliers. |
| On-Load Tap Changer (OLTC) | Mixed | Elevated sourcing risk | Voltage-regulating diverter/selector switch; MR (Germany) is world leader but also has a China production site. |
| GIS Switchgear Assembly | China | Covered nation | Gas-insulated switchgear bays paired with substation transformers; SF6-filled, China-assembled. |
Processing and refining (7)
| Input | Origin | Sourcing risk | Basis |
|---|---|---|---|
| Baowu CRGO MillBaoshan / Wuhan (Baowu Group), China | China | Covered nation | Rolls and anneals CRGO from silicon steel; #1 globally — China dominates midstream electrical-steel processing. |
| Baowu Blast Furnace / SteelworksChina Baowu integrated steelworks, China | China | Covered nation | Smelts imported iron ore into pig iron and steel; China makes ~47% of world crude steel. |
| Silicon Metal Smelter (submerged-arc)Xinjiang / Yunnan / Sichuan, China | China | Covered nation | Submerged-arc furnaces reduce quartz to silicon; China dominates this midstream chokepoint. |
| Copper Smelter / RefineryChina (e.g. Jiangxi/Shandong smelters) | China | Covered nation | China refines ~48% of world copper — 5x the #2; the midstream chokepoint even for allied-mined ore. |
| Naphthenic Oil RefineryChina | China | Covered nation | Refines naphthenic-crude slates into high-grade transformer base oil for domestic OEMs. |
| Pressboard / Kraft Paper ConverterChina (Weidmann/Zhongtian lines) | China | Covered nation | Converts pulp into transformer pressboard; premium supplier Weidmann (CH) also runs China lines. |
| SF6 Gas Production PlantChina | China | Covered nation | Synthesizes electronic-grade SF6 from sulfur + fluorspar; China-based fluorochemical chokepoint. |
Raw material (15)
| Input | Origin | Sourcing risk | Basis |
|---|---|---|---|
| Grain-Oriented Electrical Steel (CRGO) | China | Covered nation | Cold-rolled grain-oriented silicon steel; China Baowu is the world's largest CRGO producer (~1.16 Mt capacity). |
| Silicon Steel Slab (Si-alloyed steel) | China | Covered nation | Steel slab alloyed with ~3% silicon, feedstock for CRGO rolling. |
| Pig Iron / Molten Steel | China | Covered nation | Blast-furnace pig iron from iron ore + coke, refined into steel. |
| Iron Ore | Australia | No known risk factor | Hematite/magnetite ore; Australia and Brazil supply ~2/3 of seaborne ore imported by China. |
| Metallurgical Coke / Coking Coal | China | Covered nation | Reductant for blast furnace; largely domestic Chinese coking coal + coke. |
| Silicon Metal / Ferrosilicon | China | Covered nation | Silicon addition for electrical-steel alloying; China produces ~80% of world silicon metal. |
| Quartz / Silica (SiO2) | China | Covered nation | Silica rock feedstock for silicon smelting. |
| Electrolytic Copper Conductor | China | Covered nation | High-purity copper wire/strip for windings; refined predominantly in China. |
| Refined Copper Cathode | China | Covered nation | 99.99% Cu cathode drawn into conductor. |
| Copper Concentrate | Chile | No known risk factor | ~30% Cu concentrate shipped to Chinese smelters; Chile is China's top ore source. |
| Naphthenic Base Oil | China | Covered nation | Specialty naphthenic base oil is the feedstock for transformer dielectric fluid; limited global refining capacity. |
| Naphthenic Crude Oil | China | Covered nation | Specific naphthenic crude slate (domestic + imported); sourcing mixed. |
| Specialty Cellulose Pulp | Sweden | No known risk factor | Unbleached softwood kraft pulp for electrical-grade paper/pressboard; Nordic specialty pulp. |
| Porcelain / Alumina Insulator Body | China | Covered nation | High-alumina porcelain for bushing/GIS insulators; China-fired ceramics. |
| SF6 Insulating Gas | China | Covered nation | Sulfur hexafluoride dielectric gas fills GIS bays; China is a leading SF6 producer. |
Mine and extraction (8)
| Input | Origin | Sourcing risk | Basis |
|---|---|---|---|
| Pilbara Iron Ore MinesPilbara region, Western Australia | Australia | No known risk factor | Allied-mined iron ore (Rio Tinto/BHP/FMG); ore itself clean, but smelted in China. |
| Carajás Iron Ore MineCarajás, Pará, Brazil (Vale) | Brazil | No known risk factor | High-grade Brazilian iron ore; allied-mined, refined in China. |
| Coking Coal MineShanxi / Inner Mongolia, China | China | Covered nation | Domestic Chinese coking coal feeding blast furnaces. |
| Quartz / Silica QuarryChina | China | Covered nation | Domestic silica/quartzite quarry feeding silicon smelters. |
| Escondida / Chilean Copper MinesAtacama, Chile | Chile | No known risk factor | Chile mines ~23% of world copper; allied-mined but concentrate refined in China = flagged downstream. |
| Peruvian Copper MinesPeru | Peru | No known risk factor | Peru is a major concentrate source (~350kt/yr to China); allied-mined, China-refined. |
| Nordic Softwood ForestrySweden / Finland | Sweden | No known risk factor | Sustainably-managed softwood source for electrical-grade cellulose (mine-analog raw source). |
| Bauxite / Alumina SourceChina (also Guinea imports) | China | Covered nation | Bauxite/alumina feedstock for porcelain; China-processed. |
Logistics (1)
| Input | Origin | Sourcing risk | Basis |
|---|---|---|---|
| Concentrate & Ore ShippingPacific bulk shipping lanes | China | Covered nation | Bulk carriers moving iron ore and copper concentrate from Australia/Chile/Peru to Chinese smelters. |
Material flow (45 relationships)
- Shanghai Electric assembles Transformer Core (CRGO laminations) (Transformer core)
- Shanghai Electric assembles Windings (HV/LV coils) (Windings)
- Shanghai Electric assembles Solid Insulation (paper & pressboard) (Solid insulation)
- Shanghai Electric assembles Insulating Oil (dielectric fluid) (Insulating oil)
- Shanghai Electric assembles Tank & Radiators (mild steel) (Tank & radiators)
- Shanghai Electric assembles HV Bushings (OIP/RIP) (HV bushings)
- Shanghai Electric assembles On-Load Tap Changer (OLTC) (On-load tap changer)
- Shanghai Electric assembles GIS Switchgear Assembly (GIS switchgear)
- Transformer Core (CRGO laminations) supplies Grain-Oriented Electrical Steel (CRGO) (CRGO electrical steel)
- Grain-Oriented Electrical Steel (CRGO) refines Baowu CRGO Mill (CRGO rolling/annealing)
- Baowu CRGO Mill sources from Silicon Steel Slab (Si-alloyed steel) (Silicon steel slab)
- Silicon Steel Slab (Si-alloyed steel) sources from Pig Iron / Molten Steel (Pig iron / steel)
- Pig Iron / Molten Steel refines Baowu Blast Furnace / Steelworks (Blast-furnace smelting)
- Baowu Blast Furnace / Steelworks sources from Iron Ore (Iron ore)
- Iron Ore sources from Pilbara Iron Ore Mines (Iron ore extraction)
- Iron Ore sources from Carajás Iron Ore Mine (Iron ore extraction)
- Baowu Blast Furnace / Steelworks sources from Metallurgical Coke / Coking Coal (Coke reductant)
- Metallurgical Coke / Coking Coal sources from Coking Coal Mine (Coking coal extraction)
- Silicon Steel Slab (Si-alloyed steel) sources from Silicon Metal / Ferrosilicon (Silicon addition)
- Silicon Metal / Ferrosilicon refines Silicon Metal Smelter (submerged-arc) (Silicon smelting)
- Silicon Metal Smelter (submerged-arc) sources from Quartz / Silica (SiO2) (Quartz / silica)
- Quartz / Silica (SiO2) sources from Quartz / Silica Quarry (Silica extraction)
- Windings (HV/LV coils) supplies Electrolytic Copper Conductor (Copper conductor)
- Electrolytic Copper Conductor sources from Refined Copper Cathode (Copper cathode drawing)
- Refined Copper Cathode refines Copper Smelter / Refinery (Copper smelting/refining)
- Copper Smelter / Refinery sources from Copper Concentrate (Copper concentrate)
- Copper Concentrate sources from Escondida / Chilean Copper Mines (Copper ore extraction)
- Copper Concentrate sources from Peruvian Copper Mines (Copper ore extraction)
- Insulating Oil (dielectric fluid) supplies Naphthenic Base Oil (Naphthenic base oil)
- Naphthenic Base Oil refines Naphthenic Oil Refinery (Base-oil refining)
- Naphthenic Oil Refinery sources from Naphthenic Crude Oil (Naphthenic crude)
- Solid Insulation (paper & pressboard) supplies Specialty Cellulose Pulp (Cellulose pulp)
- Specialty Cellulose Pulp refines Pressboard / Kraft Paper Converter (Pressboard conversion)
- Pressboard / Kraft Paper Converter sources from Nordic Softwood Forestry (Softwood pulp source)
- HV Bushings (OIP/RIP) supplies Porcelain / Alumina Insulator Body (Porcelain insulator)
- Porcelain / Alumina Insulator Body sources from Bauxite / Alumina Source (Bauxite / alumina)
- HV Bushings (OIP/RIP) supplies Electrolytic Copper Conductor (Bushing conductor rod)
- On-Load Tap Changer (OLTC) supplies Electrolytic Copper Conductor (Contact copper)
- GIS Switchgear Assembly supplies SF6 Insulating Gas (SF6 insulating gas)
- SF6 Insulating Gas refines SF6 Gas Production Plant (SF6 synthesis)
- GIS Switchgear Assembly supplies Porcelain / Alumina Insulator Body (Insulator body)
- GIS Switchgear Assembly supplies Electrolytic Copper Conductor (Busbar copper)
- Tank & Radiators (mild steel) sources from Pig Iron / Molten Steel (Mild steel plate)
- Copper Smelter / Refinery sources from Concentrate & Ore Shipping (Concentrate shipping)
- Baowu Blast Furnace / Steelworks sources from Concentrate & Ore Shipping (Ore shipping)
Sources and methodology
Research-based supply-chain map compiled from public sources - not an audited bill of materials. Tiers reflect the standard industry structure for this product. Sourcing risk on a node describes where that input is typically mined or refined; it is not a FEOC determination for Shanghai Electric, and it is not a screening result for the node itself unless a federal listing is cited against it. Verify against primary documentation before making a compliance determination.
Primary sources (1) - government, filings, standards bodies
Secondary sources (20) - trade press, analysts, reference works
- energypowertransformer.com energypowertransformer.com/key-components-of-a-power-transformer-core-windings-and-insulation/
- seatrustx.com seatrustx.com/transformer-main-components-core-winding-tank-bushing/
- elecbase.net elecbase.net/power-transformers/power-transformer-components/
- makpowerts.com makpowerts.com/materials-used-to-make-transformer
- taishantransformer.com taishantransformer.com/power-transformer-manufacturing-process/
- shanghaielectric-smec.com shanghaielectric-smec.com/1-6-transmission-distribution-equipment/
- markets.financialcontent.com markets.financialcontent.com/wral/article/abnewswire-2026-1-13-jiangsu-baowu-new-materials-china-manufacturer-and-wholesale-supplier-of-wear-resistant-steel-plate-and-grain-oriented-electrical-steel
- chemicalresearchinsight.com chemicalresearchinsight.com/2025/12/07/top-10-companies-in-the-grain-oriented-electrical-steel-industry-2025-market-leaders-powering-the-global-energy-grid/
- faxiangongchang.com faxiangongchang.com/en/reports/china-copper-smelting-2026
- investingnews.com investingnews.com/daily/resource-investing/base-metals-investing/copper-investing/copper-production-country/
- features.csis.org features.csis.org/copper-in-latin-america/
- en.wikipedia.org en.wikipedia.org/wiki/Copper_mining_in_Chile
- en.wikipedia.org en.wikipedia.org/wiki/Iron_ore
- en.wikipedia.org en.wikipedia.org/wiki/List_of_countries_by_silicon_production
- statista.com statista.com/statistics/268108/world-silicon-production-by-country/
- indexbox.io indexbox.io/store/china-mineral-based-transformer-oil-market-analysis-forecast-size-trends-and-insights/
- indexbox.io indexbox.io/store/asia-pacific-transformer-insulation-market-analysis-forecast-size-trends-and-insights/
- reinhausen.com reinhausen.com/portfolio/on-load-tap-changers
- reinhausen.com reinhausen.com/portfolio/bushings
- taishantransformer.com taishantransformer.com/products/gas-insulated-switchgear/
Common questions
- Where does Shanghai Electric source the inputs in this product?
- This map traces 40 inputs across 6 countries, including 15 mines and refiners. It is compiled from public sources and is not an audited bill of materials.
- How much of the Shanghai Electric supply chain sits in a covered nation?
- 29 of 40 mapped inputs are sited in a covered nation (China, Russia, Iran or North Korea) or named on a federal restricted-party list. A further 3 carry elevated sourcing risk without either basis.
- Is Shanghai Electric itself a Foreign Entity of Concern?
- Yes. Shanghai Electric is organized in China, a covered nation under the FEOC rules, which makes it a foreign entity of concern for IRA clean-energy tax credit purposes. It is not named on any of the 3 federal restricted-party lists screened for this record (DOD Section 1260H, BIS Entity List, OFAC SDN List). Sourcing risk in this map describes where inputs are mined and refined and is a separate question from the company's own federal screening.
