Building & Investment (May - Jun 2016) (May - Jun 2016) | Page 20

Special Feature

Project reference – Roll Former Plant, Bukit Beruntung, Selangor

was the excessive production of steel products
from Mainland China that led to price war.
The steel market was bad that year and added
to that the Malaysian economy was also not
doing too well – reports show that it was red
figures for a lot of steel mills including us.
Another reason was that in order to comply
with the government regulations, we need
to buy the hot-rolled coils, our upstream
material, from a local supplier who charged
a relative high price. Consequently, both
our production cost and profit margin were
negatively affected.
However, we always monitor the steel
market trends carefully and exchange
information with our parent company on
a timely basis so as to react fast to the rapid
changes. In addition, credit should be given
to the united team spirit of our workforce
that ensures the strategy and targets set by
the Company are executed smoothly and
many thanks to our parent company, China
Steel Corporation of Taiwan, that continues
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to provide valuable support in technological
advances and product quality. All of these
factors had enabled us to perform well in the
following year.
B & I:  Given the current