Nippon Steel to build steel plant in Thailand

Tin Coated Steel Nippon Steel Corp. President Shoji Muneoka has expressed strong hopes of building a steel plant in Thailand, which is actively seeking a foreign partner to boost its steel production. The Japanese firm has a strong lead over other companies in technologies for steel plant construction and know-how on products for Japanese companies, Muneoka said in an interview with Jiji Press. Meanwhile, Muneoka blasted the target now being considered by the government of reducing Japan's greenhouse gas emissions by 60-80 pct by 2050. Such a target would be "totally unrealistic," he said. Nippon Steel is expanding its steel output in response to growth in global steel demand. But it may be forced to reduce domestic production depending on the course of international talks on a successor framework for the Kyoto Protocol on greenhouse gas cuts. Nippon Steel is yet to decide whether it should shift its focus to foreign operations by holding back from raising its domestic output, Muneoka said. "We may become unable to stay in Japan" if the Japanese government sets strict targets to reduce greenhouse gas emissions, he said, adding that other manufacturers may also face a similar fate. While its domestic operations face uncertainty, Nippon Steel recently decided to expand the group's steel output in Brazil. It also aims to expand to Thailand, which has an annual steel demand of 10 million tons and is an operational base for many Japanese firms, including automakers and home electronics makers.