Usha Martin Ltd’s subsidiary in Thailand — Usha Siam Steel Industries Public Co Ltd — has formed a 50:50 joint venture with Kobe Steel Group company — TESAC Wire Ropes.
Usha Martin Ltd said on Tuesday that the joint venture — TESAC Usha Wire Rope Co — will set up a 12,000 tonnes-a-year steel wire rope facility in Thailand.
“It aims to meet the growing demand of the Japanese elevator makers in the ASEAN region,” Usha Martin said.
The proposed plant will be set up adjacent to Usha Siam’s existing unit in Pathum Thani’s Navanakorn Industrial Estate in Thailand.
The 500 million baht ($17 million) facility is expected to be operational in 2014. Under the agreement, signed on November 27, Usha Siam will supply steel wires to the joint venture.
Usha Siam, located in Bangkok, produces 36,000 tonnes of wire ropes, auto cables, strands and speciality wires. TESAC is a leading elevator rope-making company in Japan.