Kobelco Millcon Steel (KMS) plans to increase its monthly steel output to 12,000mt from 10,000mt to meet the growing demand for cold-rolled coil and premium steel in Thailand’s and Japan’s automotive industries.
KMS has targeted a capacity increase to 15,000mt a month within the next two to three years, noted media reports on Tuesday.
Theerayuth Lertsirarungsun, co-chief executive officer noted to media on June 1, that car production in Thailand is expected to increase further in the near term.
Thailand’s Federation of Industries (FTI) recorded a 322pc rise in vehicle production this April at 104,355 units compared to the same month last year. Domestic auto sales and exports also grew by 93pc and 160pc respectively, during the same month.
The company also highlighted that post-pandemic recovery is well underway as compared to sluggish output and demand last year in Thailand and Japan.
KMS is a joint venture between Japan’s Kobe Steel and Thailand’s Millcon Steel, with a total production capacity of 400,000mt per year across two facilities in Rayong city, Thailand, and Bangkok.