Nam Kim Steel - A Pioneer Of Steel Production Technology
BlogDate: 05-04-2023 by: Ngan Le
During this time, Vietnam's steel industry has significantly developed in annual production scale and diversified product range. One of the steel enterprises that has contributed to the success of the integration process is Nam Kim Steel, which has significantly contributed to raising the position of Vietnamese steel in many countries worldwide.
1. The overall process of foundation & development
Nam Kim Steel JSC (trademarked Tôn Nam Kim) was officially established on December 23, 2002, specializing in manufacturing and trading all kinds of galvanized steel sheets. Other steel products are applied widely in construction, industry, and furniture...
In 2010, Nam Kim Steel started constructing the first galvanized steel sheet factory with a capacity of 350,000 tons/year. Following new progress in improving production, Nam Kim continued establishing the second galvanized steel sheet factory in 2014 with a large degree, almost double the number 1 factory at 650,000 tons/year.
2. Nam Kim Steel's business sector activities
Currently, galvanized steel products are the main product lines of Nam Kim Steel. In addition, the company also promotes the production of steel pipes. The company always focuses and invests all of its resources in manufacturing steel and improving the capacity of factories. These products include:
- Galvanized steel sheet: rolled steel form coated with two layers of zinc surface through a continuous hot-dip process.
- Galvanized aluminum-zinc alloy sheet: the coil is coated with a zinc-aluminum mixture with the proportions (55% Aluminum, 43.5% Zinc, and 1.5% Silicon).
- Color cold corrugated iron: a form of galvanized aluminum alloy corrugated iron. However, it will be covered with a layer of PE paint to increase the appearance of the building as well as maintain additional corrosion resistance for the product.
- Steel pipes: black box steel, galvanized steel box
3. Production capacity and technical pioneering
Nam Kim's products are manufactured using modern technological equipment. These factories applied a rust removal line with a capacity of 900,000 tons/year to produce. This is considered one of Vietnam's pioneering production technology lines when equipped with an acid reuse system, which helps improve overall productivity and contributes to energy saving and environmental protection.
Besides the unique rust removal line system, Nam Kim Steel also owns a series of outstanding advances in production, such as a cold rolling line system with a capacity of 900,000 tons/year. The line features an AFC system that automatically calculates optimal flatness even at high speed.
Nam Kim owns two corrugated iron factories with 350,000 tons/year and 650,000 tons/year capacity. Moreover, Nam Kim also owns another factory specializing in producing steel pipes with a capacity of 270,000 tons/year when the combined total capacity of 3 factories has helped factories reach a massive degree of 1 million tons per year, allowing the company to meet the demand for supplying steel in the domestic and international markets.
4. Nam Kim Steel's position in the domestic market share
Although, in the beginning, it was still tricky for Nam Kim to participate in the galvanized sheet market and face fierce competition from the leading giants in the industry. After more than 20 years since its establishment and development, Nam Kim brand has gradually marked a remarkable transformation to become the 2nd leading brand in terms of market share of coated steel sheets in Vietnam.
Market share of Galvanized steel Vietnam in 2021 and 2022
According to Vietnam Steel Association (VSA), Nam Kim's market share in galvanized steel has grown steadily yearly, reaching 17.5% in 2021. This percentage helped Nam Kim rank 2nd position in the market share of the galvanized steel industry. Taking advantage of its strengths in production, the company constantly offers technical improvements for the factory to improve total productivity, creating a solid basis for the next step to dominate the market in the future.
5. Brilliant highlights in the export market of Nam Kim Steel
Although the company specializes in manufacturing and trading various steel products, galvanized sheet products are always the business's essential products when the proportion of exports accounts for 63.4% of sales revenue.
Due to investment in a system of organized production equipment, Nam Kim coated steel sheet has passed strict standards and technical output requirements to export to the potential European market. The European market has been the most important export market, with a rate of 50% of annual export volume. Besides the EU area, the US market is also one of their key markets, with 20% of the export volume. ASEAN countries are also highly appreciated in the export planning of Nam Kim Steel.
Steel Exporting Volume of Nam Kim In Specific Month In 2021 & 2022
Although the domestic demand for steel in the past year has declined significantly, affecting steel enterprises' revenue, including Nam Kim. However, thanks to the strategic direction of investment in steel production capacity has helped its products achieve good output quality, and foreign markets will receive these products. This has contributed to the steady increase in export volume over the quarters. The positive export growth has helped Nam Kim Steel compensate for the loss of revenue due to the decline in domestic steel demand.
6. Which is the best solution for importer about trading Nam Kim Steel?
Nam Kim Steel is always proud to be a pioneer in investing and updating steel production technologies. This improvement contributed to bringing the total capacity of corrugated iron and galvanized steel to more than 1.2 million tons/year, which will change continuously.
Therefore, before investing in trading strategy and importing steel, it is always essential for the plan to find out information about production structure and total production capacity. This is mainly for international importers facing barriers to understanding the Vietnamese steel market.
MRS Steel is precisely the appropriate partner for you to solve your challenging problems based on our extensive knowledge of large steel manufacturers in Vietnam that we have. Our support will help you gain critical information about Nam Kim Steel's production capacity. Thereby we can create a valuable database foundation for you to refine your import plan so that it is optimal in terms of both time and cost. To receive a detailed report on the production capacity of Nam Kim Steel, please Fill in your information here.