Siam Tinplate Starts Second Line

SHANGHAI, Sep. 25 -- Siam Tin Plate (STP), the joint venture operation in Thailand established by Sumitomo Corporation, Metal One and Nippon Steel, re- started its controversial No. 2 tin free steel line on 21 September, Japan Metal Bulletin reports . The firm was forced to stop operation of the 120,000 tpy capacity line almost a year ago by a local court judgment following protests by residents in the Maptaput area. Production from the new line will augment output from its 150,000 tpy No. 1 line and will go towards meeting rising demand for food cans.

STP had invested 4.9 billion yen (US$60 million) in the new line, which was shut down last October after only a few weeks in operation. However an independent inquiry concluded last week that there was no adverse environmental impact of the plant. Mr. Hiroyuki Umeoka, the president of STP, said the Thai government solved the problem when Japanese enterprises threatened to reduce investment in Thailand.

Demand for tinplate and tin free steel in Thailand is expected to reach 600,000 tonnes this year. STP has been the second largest supplier to the market after Thai Tinplate.