China Steel Corporation of Taiwan tries to expand the business both in volume and value under the 5-year plan from 2007. The firm expends 200 billion new Taiwan dollars in 5 years to expand the group’s output capacity to more than annual 20 million tonnes by 2011 while the firm increases the sales weight of high valued items to 50% from current less than 40%. President Y.C. Chen said he focuses on building strong corporate value in the interview with Japan Metal Bulletin. Mr. Chen said the group tries to start the new blast furnace with 2.5 million tonnes of annual output capacity at Dragon Steel earlier than original plan in December 2009. He said the new integrated steel plant will commission no.1 hot strip mill with 3 million tonnes of capacity in mid-2010. Dragon Steel plans to step forward to the second phase with no.2 blast furnace with 3 million tonnes of capacity depending on environmental clearance. Mr. Chen said CSC tries to shift the products mix to higher valued items especially at Kaohsiung works. He said the firm expands the cold rolling capacity by 50% to annual 4.7 million tonnes after commission of no.3 cold rolling mill in 2011. The firm also adds no.3 continuous galvanizing line in 2011 to increase the capacity to 1 million tonnes from current 600,000 tonnes. He said the firm increased the special team for new material joint development with users by 3 to 8 teams in the year in order to expand the high valued products line. Mr. Chen said the larger volume also help to avoid hostile takeover while the firm has around 30% stable shareholders including 20% share by Taiwan government. He said the firm could cooperate with Japanese integrated steel makers to develop raw material resources. He said Sumitomo Metal Industries is the top priority potential partner for steel business alliance in products and technology based on the joint venture at Wakayama and long term slab purchase contract.
Japan Steel Scrap Composite Prices (Sangyo Press)02/21/2018
|35300YEN (-)||38300YEN (-)|
|325.23US$ (-2.23)||352.87US$ (-2.42)|
* Average of electric furnaces steel maker's purchasing price in Tokyo, Osaka and Nagoya (per ton)