Vina Kyoei Eyes Steel Making Shop and No.2 Mill

Kyoei Steel’s Vietnamese operation, Vina Kyoei Steel will hold investors’ talk on March 20 to discuss new electric furnace steel making shop and no.2 rolling line. They try to find the way for the expansion including when and how much after the firm expands the output capacity of no.1 rolling mill to annual 400,000 tonnes. The firm keeps studying to improve the cost competitiveness by adding upper stream operation under the strong domestic demand. The firm has annual 300,000 tonnes of output capacity for rolling mill to make concrete reinforcing steel bar, steel bar and wire rod with imported billet. The firm increased the production by 19% to record 340,000 tonnes in 2007 from 2006 while the earnings before tax increased by 60% to record US$ 10 million with 45% higher sales at US$ 240 million for the year ending December 2007 from previous year. The firm enjoys booming steel demand when the country’s economic growth increases to 8.5% for 2007 due to membership of World Trade Organization since January 2007. The steel demand increases with building rush for housing, condominium, building and infrastructure.