JFE commissions joint venture steel plant in Myanmar
JFE Engineering, a sister company of Japan’s JFE Steel, has recently concluded the construction of a joint venture steel plant in Myanmar and made its first shipment in the Southeast Asian nation.
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Named J&M Steel Solutions, the plant was officially inaugurated on July 20 in Thaketa Township, some 15km from the center of Yangon, Myanmar’s largest city, JFE Engineering announced recently.
The plant has capacity to fabricate 10,000 tpy of steel structures such as bridges, guardrails, harbor and coastal structures. JFE Engineering holds a 60% stake in the project, while the remainder is owned by Myanmar’s construction ministry.
“The main facilities of the new plant started operating in April 2014 by fabricating a steel bridge, and the first bridge block has just been shipped on July 20,” JFE Engineering said.
The block is part of a 200-tonne bridge that is being constructed in Myanmar’s neighboring country Laos.
J&M Steel Solutions has also been receiving orders from Myanmar’s construction ministry for the design, fabrication and planned construction of steel bridges across the country, the Japanese company noted.
“In addition to these orders, JFE Engineering subcontracts the fabrication work which it receives from countries other than Myanmar to J&M Steel Solutions, and as a result the company’s order backlog already amounts to as much as 7,000 tonnes of steel,” it said.
“Development of transportation infrastructure, such as roads and railways, as well as logistics infrastructure, including port terminals are vital for the economic growth that Myanmar aims to achieve,” JFE Engineering added.
Political and economic reforms over the past few years in Myanmar have opened the country to foreign investment, with several companies now looking to invest more in the Southeast Asian country.
Thailand’s Millcon Steel has also recently announced plans to build a steelworks in Myanmar for the production and distribution of structural steel.