The Taiwanese steel producer China Steel Corporation (CSC) may have to move its proposed Vietnamese cold rolled steel mill to a different province in the country, at the request of the Vietnamese central government.
CSC has announced that it is in the constant discussions on the plant site issue with the central and local governments in Vietnam.
Although the CSC investment project had passed an assessment by local government, the central government intends to relocate the project to another central region in Vietnam before granting its final approval.
The project was initially proposed to be constructed in Vietnam's southern province of Ba Ria Tung Tau within three years and with a planned annual production of 1.6 million mt of cold rolled steel. However, the central government has expressed its concern that this southern province is already the location of many steel mills.
The project for the new cold rolled mill is a joint venture between CSC with a 51 percent shareholding, Japan's Sumitomo Metal Industries with a 30 percent stake and some Taiwanese enterprises, such as Chinfon Group, Hsin Kuang Steel and Chun Yuan Steel, which hold the balance.