Japanese steel tubes and pipes producer Sumitomo Metal Industries (Sumitomo Metals) and Taiwan-based steel producer China Steel Corporation (CSC) have agreed a joint venture contract for the construction of a new steel sheet mill in Vietnam called China Steel Sumikin Vietnam Joint Stock Company (CSVC).
The new steel sheet mill, CSVC, with a planned production capacity of 1.6 million mt per year, will be specialized in the production of hot-cut sheet, pickling and oiling steel coil, cold rolled coil, and electromagnetic steel sheet for the Vietnamese market and for the markets of surrounding countries. The mill is scheduled to start production at the beginning of 2012.
The total investment in the new steel sheet JV amounts to about $1.15 billion, being one of the largest collaborations between Sumitomo Metals and CSC Group.
Both companies are to provide technical support to CSVC to meet growing requirements from customers in Asia in terms of quantity and quality of products.