Posted on 08 Oct 2025
Malaysian steelmaker Lion Industries has confirmed its flagship Amsteel Mills plant in Bukit Raja, Klang remains in operation despite challenging times for the global steel sector, Kallanish notes.
The clarification comes after a local news outlets reported plans by the firm to shut down its two mills in Bukit Raja, Klang and Banting under Amsteel Mills.
In a bourse filing, Lion Industries stresses that Amsteel Mills, which has operated since 1978, is continuing to focus on improving operational efficiencies, strict cost containment, and diversifying its product range.
However, after 47 years of use, the company acknowledges the plant's machinery needs an upgrade. It is actively seeking strategic partners to introduce new technologies and processes. This modernisation effort will make the plant more efficient, cost-competitive, and better positioned to meet current market demands.
Separately, Amsteel's Banting plant is temporarily shut down. The company cites the recent hike in electricity tariffs, which made operations economically unfeasible.
Lion Industries is exploring options to revitalise the Banting facility, including finding strategic partners to introduce new processes and products. An announcement will be made once a suitable partner is secured.
"We wish to stress that the steel business is still very much the core business of Lion Industries Corporation Berhad and have no plans to shut Amsteel Mills other than for upgrading purposes," it concludes.
Source:Kallanish
