China Steel Corp. to buy 5% of Formosa Plastics' Vietnam Unit

Taiwan's largest steel producer China Steel Corp. (CSC) plans to spend US$135 million for a 5 percent stake in a Vietnam-based steel maker owned by Formosa Plastics Corp.in order to expand its production base.

The company did not state the reason for the acquisition even though earlier it planned to acquire 10 percent of Formosa Plastics' steel plant in Vietnam.

CSC's revenue for the six months ended June 30 rose by 54 percent to NT$112.51 billion from NT$73.28 billion.

In the meanwhile, its net profit for the first half year is about NT$23.82 billion, reversing from a net loss of NT$6.45 billion a year earlier.