Yamato Korea Steel Relocates Rebar Plant in Busan

Yamato Korea Steel, the subsidiary of Yamato Kogyo of Japanese major electric furnace steel maker, entered the agreement of advancement to international transport industrial estate in Busan. Yamato Korea Steel plans to relocate the plant when the plant aged and is surrounded by dwelling areas. The firm gained a land of 356,000 square meters to construct a new integrated electric furnace plant with capacity of 1 million tonnes per year, starting operation in July 2013.

Yamato Kogyo bought Busan plant of Hanbo Iron & Steel and incorporated as Yamato Korea Steel. Yamato Korea Steel produces reinforcing steel bar at 80,000-90,000 tonnes per month to supply to South Korean market. The sales of Yamato Korea Steel was 866.9 billion won in 2008. Because existing plant’s electric furnace and rolling mill are separated, production efficiency is low. The firm decided to relocate the old plant.

International industrial estate gives several favorable treatments. Busan welcomes Yamato Korea Steel. The mayor of Busan attended a signing ceremony.

The firm is expected to introduce a large electric furnace with capacity at over 100 tonnes and construct a rebar plant with capacity at 1 million tonnes per year.