Taiwan and Japan Giant Steel Manufacturers Invest in “China Steel Sumikin Vietnam Joint Stock Company,” Competing for Southeast Asian Market

2011-08-02

Taiwan CSC  and Japan Sumitomo Metal Industries, Ltd. (SMI) co-invest USD 1.15 billion in “China Steel Sumikin Vietnam Joint Cold-Rolled Steel Complex”, expecting to begin mill construction on September 8th. The investment is anticipated to become CSC's largest business project abroad, grabbing the automotive and home appliance market shares in Southeast Asian area. It is reported that the steel complex is situated in suburban Ba Ria Vung Tau industrial zone near Ho Chi Minh City, Vietnam, covering 109 hectares. The main shareholders are many goliaths of Taiwan and Japan steel manufacturers, for example, CSC, Formosa Plastics, Sumitomo Group, Chun Yuan Steel Industry, Hsin Kuang Steel, etc. Among which CSC holds 51% share, Formosa Plastics for 5%, and Sumitomo Group for 40%. The construction of the steel complex will be completed and go into trial production no later than the end of 2012 to the beginning of 2013.