Posco Breaks Ground in Vietnam for New Cold Mill
08/14/2007 - Posco holds groundbreaking ceremony in Vietnam for a new cold-rolling plant that will complement a three million tonne/year hot rolling plant that is also planned for Vietnam.
Posco recently held a groundbreaking ceremony for the new cold-rolling plant that is now under construction in Vietnam.
Construction of this cold mill is expected to play a central role in Posco’s participation in the Southeast Asian market, as the plant will provide 1.2 million tonnes of annual production capacity to Vietnam’s largest steel market, namely, the Phu My industrial complex located near Ho Chi Minh city, the center of Vietnam’s economy.
The new facility will produce 0.7 million tonnes of cold-rolled products and 0.5 million tonnes of full hard products, all of which will be distributed throughout Vietnam and to Southeast Asia, according to Posco. Considering the expected completion of the hot-rolling plant in 2010, which will add another 3 million tonnes of annual production capacity, the total combined facility reflects the largest foreign company involvement in Vietnam to date.
Construction of this cold mill is expected to play a central role in Posco’s participation in the Southeast Asian market, as the plant will provide 1.2 million tonnes of annual production capacity to Vietnam’s largest steel market, namely, the Phu My industrial complex located near Ho Chi Minh city, the center of Vietnam’s economy.
The new facility will produce 0.7 million tonnes of cold-rolled products and 0.5 million tonnes of full hard products, all of which will be distributed throughout Vietnam and to Southeast Asia, according to Posco. Considering the expected completion of the hot-rolling plant in 2010, which will add another 3 million tonnes of annual production capacity, the total combined facility reflects the largest foreign company involvement in Vietnam to date.
“The new facility will be equipped with the newest technology allowing production of high quality steel materials, to supply to the local and Southeast Asia’s demand,” noted Posco’s CEO Ku-teak Lee in his congratulatory speech.
The Vietnamese government has provided its full support since March of this year, allowing the commencement of construction within just four months.
Posco intends the construction of these two plants in Vietnam as an opportunity to develop a foundation for global expansion with linkage to processing centers in the Southeast Asian region such as Thailand, Malaysia, and Indonesia centered on their Pohang and Gwangyang Steel plants.
The Vietnamese government has provided its full support since March of this year, allowing the commencement of construction within just four months.
Posco intends the construction of these two plants in Vietnam as an opportunity to develop a foundation for global expansion with linkage to processing centers in the Southeast Asian region such as Thailand, Malaysia, and Indonesia centered on their Pohang and Gwangyang Steel plants.
The plant is expected to be completed by September 2009
