According to SEAISI statistics, of the 59.9 million tons of major carbon steel capacity planned to be put into production in Southeast Asia in the next decade, 39.4 million tons will come from projects led by China. The steel output of Association of Southeast Asian Nations (ASEAN) countries in 20 19 reached 45.3 million tons, up 5.70% year-on-year.
Philippines:180,000 tons
In the next decade, the largest planned production capacity of Southeast Asian countries will come from the Philippines, with an annual increase of180,000 tons.
The Philippines has established a good position as a producer of long steel, mainly by re-rolling billets, but it has no flat steel production. Two new factories headed by China are trying to solve this problem quickly.
According to the data of Philippine Iron and Steel Research Institute, in 20 19, the Philippines imported 3.38 million tons of flat steel, and the output was zero tons.
China's Pan-China Group will build a comprehensive factory in Misamis province in the eastern Philippines. Billet, galvanized coil and color coated coil will be produced in three stages, with a total production capacity of100000 tons.
The work of the factory started on 20 19, and the expected start date of Panwa City is 2022. A Filipino trader told us that the work of the factory will continue in early 2020, but since the outbreak of coronavirus pneumonia-19, there is little new information about the project.
The new 8 million tons of annual production capacity in the Philippines will come from the joint venture project between HBIS, a steel producer in China, and SteelAsia, the largest steel producer in the Philippines, which will be built in Batangas Province.
The construction of the factory will be carried out in two stages: the first stage will start in 2023 with an annual output of 4.5 million tons, and the second stage will start in 2026 with an annual output of 3.5 million tons.
HBIS-SteelAsia subsidiary will also focus on flat steel, and the output of hot rolled coil will be designated as the initial total capacity of 4.5 million tons.
Malaysia: 1. 1.3 million tons
Up to now, the largest proposed new unit in Malaysia is a large-scale project of China Wen 'an Iron and Steel Company, which is planned to be built in Sarawak Province.
The comprehensive plant has an annual production capacity of100000 tons, and will become the largest steel producer in Malaysia after completion.
However, due to serious concerns about overcapacity in Malaysia, the project was openly opposed by the Malaysian Iron and Steel Industry Federation and the Malaysian Iron and Steel Association. These groups even joined forces in February, calling for an immediate freeze on all outstanding talents and new licenses of flat steel mills.
In February, the association said that they were worried that Wen 'an Steel Plant would lead to a sharp drop in the price of hot-rolled coils, and the available scrap stock would be reduced to a certain level, so it was necessary to import a large amount of scrap steel to meet the demand.
The second proposed Malaysian investment emphasized by SEAISI is to expand the production capacity of the manufacturer Dongfang Iron and Steel Company, which is owned by China Donggang Group and located in Dengjialou.
According to the company, the current capacity of a blast furnace of Dongfang Steel is 700,000 tons/year, but the capacity will increase by 654.38+0.3 million tons in three years.
Myanmar: 4 million tons