In February 1908, Sheng Xuanhuai merged Dayeshan Iron Works, Hanyang Iron Works, and Pingxiang Coal Mine to form China's first iron and steel complex, Hanye Ping Coal and Iron Works and Mining Company.

As the main body of the company Hanyang Iron Works was founded in 1889, began by Zhang Zhidong in charge of the preparation, at a huge cost, but after the production of consecutive years of losses. To 1896 was forced to change to "official and commercial", by Sheng Xuanhuai prospectus 1 million two take over.

In order to save money, Sheng Xuanhuai issued 1 million shares and opened Pingxiang Coal Mine in 1898 to supply fuel for Hanyang Iron Works.

After the establishment of Hanyeping Company, Sheng Xuanhuai brought in relatives and friends on a large scale. The company engaged in malpractices and embezzlement. He had to use the company's property and Daye ore as collateral and borrow money from foreign countries for years to barely maintain its operations.