Our Project in Myanmar
A Unique Opportunity in "Asia's Last Frontier"
Since political and economic reforms started in 2011, Myanmar has become one of the fastest growing economies in the world. Myanmar's key strategic advantages are its young population and workforce, a relatively low labour cost base, vast natural resources and its location in one of the most dynamic regions in the world, being part of South East Asia, and situated between China and India.
Myanmar's economy is growing at a near double digit rate and FDI is reaching record highs. A key part of Myanmar's economic development is its building and construction sector with annual growth rates of above 10% in recent years. Coated steel products as an essential ingredient into buildings and construction are part of that growth.
We have recently announced an agreement to form a Joint Venture with JFE Steel Corporation (JFE Steel), JFE Shoji Trade Corporation (JFE Shoji), Marubeni-Itochu Steel Inc. (MISI), and Hanwa Co., Ltd. (HANWA) for our project. The new joint venture will produce and sell hot-dip galvanized and colored flat steel products for the building and construction sector in Myanmar. The construction of the plant will start after obtaining approval from relevant authorities, and plant operations are targeted to launch in 2020. Total investment in the project will be approximately 85 million US dollars.
Our plant will be located in the Thilawa SEZ where we have reserved a plot in zone B. The Thilawa SEZ is a joint venture between the Myanmar government and Japan, and is developing into one of the most prominent industrial zones in Myanmar. We believe that the Thilawa SEZ is the ideal place for our plant, offering the required infrastructure and at the same time putting us in proximity of our future customers (for more about Thilawa Special Economic Zone, refer to http://mjtd.com.mm/).