Sumikin Bussan Invests in CSC’s Coil Center in Vietnam

Sumikin Bussan, a trading subsidiary of Sumitomo Metal Industries, announced on Friday the firm invested in CSGT Metals Vietnam (CSMV), a subsidiary of China Steel Global Trading Corporation. Sumikin Bussan supports CSMV’s capital increase of US$ 1.8 million and acquires CSMV’s shares at 13%. Sumikin Bussan acquired a coil center in Vietnam for the first time.

CSMV started the operation in Dunnai province in October 2008 with 3 slitters and 3 levelers. The processing capacity is 12,000 tonnes per month for hot-, cold-rolled and surface-treated sheet and magnetic sheet. There are 700 employees.

Sumikin Bussan has operated a sales office in Ho-Chi-Min. The firm aims to follow the demand for steel sheet from Japanese users’ Vietnamese plants utilizing CSMV. Sumikin Bussan already sent staffs to CSMV.

Sumikin Bussan took 5% shares in CSVC, a joint cold rolling mill between Sumitomo Metals and China Steel in 2009. Sumikin Bussan strengthens the local marketing power in Vietnam through the investment in CSMV before CSVC starts production in 2012.