YC Inox, one of the world’s top five stainless steel manufacturers, has officially launched production at its newly established facility in Turkiye. The $80 million investment marks a significant milestone for the Taiwanese company, which aims to position Turkiye as a strategic hub for production and exports to Europe, Asia, and Africa.
The factory, located in the Dilovasi Machinery Specialized Organized Industrial Zone, spans 53,000 square meters and employs over 400 workers. The first phase of production, with an annual capacity of 20,000 tons, is now operational. Once all phases are complete, the facility’s total production capacity is expected to exceed 30,000 tons annually.
Strengthening Global Leadership in Stainless Steel
YC Inox’s latest venture will solidify its position as the world’s second-largest stainless steel pipe producer. The company has already launched operations for cutting and structural pipe manufacturing, with three additional units set to follow. The facility will produce stainless steel pipes, profiles, sheets, coils, and beams, catering to a diverse range of industries across multiple regions.
Established in 1973 as Yeun Chyang Industrial Company, YC Inox has been publicly traded on the Taiwan Stock Exchange since 2009. With this new investment, the company underscores its commitment to Turkiye as a key market for high-value steel products.
Turkiye’s Steel Industry: Growth and Challenges
Turkiye’s steel production reached 3 million tons in November 2024, according to data released by the Turkish Steel Producers Association (TCUD). For the January–November 2024 period, crude steel production grew by 11.2% year-on-year, totaling 33.9 million tons. However, trade deficits remain a concern, with $709 million in steel exports and $1.2 billion in imports for November alone.
New investments like YC Inox’s are expected to help reduce this trade imbalance, especially in niche and high-value steel production. For example, Japan’s Toyo Kohan, in partnership with Tosyali Holding, has been producing Turkiye’s first advanced-technology flat steel, a critical step in enhancing the country’s industrial capabilities.
Taiwanese Investments in Turkiye
YC Inox is not the first Taiwanese company to invest in Turkiye. Taiwan Cement Corporation (TCC), one of the world’s largest cement producers, entered the Turkish market in 2018 by acquiring a 40% stake in OYAK Cement for $640 million. In 2023, TCC purchased the remaining shares.
Founded in 1946, Taiwan Cement operates 11 factories in Taiwan and 65 in China, with a total production capacity of 76 million tons. The group’s diverse portfolio includes investments in tourism, healthcare, energy, and chemicals, making Taiwan a notable player in Turkiye’s industrial landscape.
A Strategic Move for Turkiye and YC Inox
YC Inox’s investment represents a significant boost for Turkiye’s steel industry, enhancing its global competitiveness in high-value stainless steel products. By utilizing Turkiye as a central hub, YC Inox is set to meet growing regional demand while contributing to the country’s economic growth and industrial diversification.
Source: Patronlar Dünyası/ Prepared by: İlayda Gök