Posco invests $ 600 million in Thailand and Indonesia

Posco, the largest manufacturer steel in South Korea, plans to expand its presence in the growing automobile industry of Southeast Asia. It is planned to invest $ 600 million in the construction of new galvanizing factories in Thailand and Indonesia.

Mr. Kim Sun, President of limited liability Company Posco-South Asia, Bangkok, said that Posco will spend 300 million dollars per factory. In Thailand, the company secured a place near Rayong, the Thai Automobile Industry Center, to create a continuous galvanizing line for automotive industry, with an annual capacity of 400,000 tons.

Next month, it is planned to evaluate the environmental impact of the future plant in order to put it into operation at full capacity by the end of 2015. The bulk of the products will be authorized in the domestic market and a small part will be exported.

Last year, Thailand produced 2450 thousand cars, showing a jump of 68% compared to 2011. Of which 1440 thousand cars were sold in the domestic market. Export exceeded 1 million cars. It is expected that by direct or indirectly, 400 jobs will be created in this area. Since the automotive industry in the ASEAN is a reliable sphere, Posco plans to achieve steady growth.

An integrated steel plant in Indonesia will have an annual capacity of 3 million tons. Its construction is planned to be completed by the end of this year. An annual CGL Potential in Indonesia will be 400,000 tons. This project is aimed at satisfying internal demand, using an integrated approach to conquering the automobile sheets market in Southeast Asia.