Malaysia’s stainless steel market remains strong, driven by construction, electrical and electronics sectors. Despite the growing demand and a need for reliable, cost-effective supply, the industry faces some pressing challenges, including global price volatility (notably nickel), cheaper Chinese imports, rising production costs and regulatory pressures such as upcoming carbon taxes. Furthermore, domestic demand has also been affected by sector slowdowns and material substitution.
In response, Bahru Stainless comes to the fore with a resilient strategy, forming raw material partnerships, engaging with industry bodies like MISIF and MITI, and implementing lean operations. Environmentally, the company focuses on green steel, scrap use, solar energy and slag recycling. This helps the company to reinforce its role as a sustainable and reliable industry leader.
A Resilient Journey
Founded in 2009 by Acerinox S.A., Bahru Stainless quickly established itself as a frontrunner in the realm of stainless steel manufacturing in Southeast Asia. Located in the Tanjung Langsat Industrial Complex, Johor, Malaysia, the facility boasts state-of-the-art infrastructure, including: 1,500 mm Sendzimir cold rolling mill, annealing and pickling lines, skin pass mills and polishing lines and finishing shop for various forms of packaging. With an annual production capacity of 400,000 metric tons, the company has long been recognized for its high-quality cold-rolled stainless steel products.
In mid-2024, the company faced operational challenges that led to a temporary shutdown. However, in October 2024, Worldwide Stainless Sdn. Bhd. (WSSB) acquired the company for $95 million, with Ambank Group financing 80 percent of the transaction. This acquisition marked a return to Malaysian ownership and set the stage for a dramatic revival.
Also to note, the company rehired 90 percent of its original workforce post-restructuring, preserving vital expertise while adopting multi-tasking to enhance flexibility. This allowed the company to operate with a 50 percent leaner structure without compromising performance.
Under the leadership of Danny Tan Wei Beoh, CEO of Bahru Stainless, resumed operations in December 2024 with a clear vision: “We’re not just restarting a plant; we’re reshaping Malaysia’s role in the global stainless steel value chain”, states Danny Tan, CEO, Bahru Stainless.
Carving A Niche For Itself
Malaysia’s rising stainless steel demand is driven by oil & gas, palm oil, F&B and kitchen equipment sectors. This is being bolstered by global trade shifts and the search for stable sourcing hubs. Furthermore, the country’s political stability, skilled workforce, strong infrastructure and policies like NAP 2030 support local manufacturing growth and import reduction. Participation in ASEAN and RCEP further enhances export potential, positioning the company to expand both domestically and internationally by leveraging these advantages.
As the nation’s only integrated cold-rolled stainless steel manufacturer, Bahru Stainless delivers a unique value proposition. Its localized production eliminates the delays, hidden costs and uncertainties often associated with imported steel by offering faster delivery, just-in-time inventory support and transparent pricing.
By adhering to strict quality certifications such as JIS, ASTM and EN, and maintaining rigorous in-house quality control, the company ensures consistent performance for high-demand industries including oil & gas, medical equipment and food processing.
Innovation and technology play a central role in its operations. This is just not limited to developing new products, but also in driving excellence across production and quality. Additionally, the company employs precision-controlled systems and real-time monitoring to reduce variability, improve efficiency and deliver defect-free products. This approach allows the company to maintain reasonable expenditure and high reliability in a volatile global market.
Further strengthening its global credibility, the company holds internationally recognized certifications, including JIS (Japanese Industrial Standards), TÜV (Pressure Equipment Directive) and CE and UKCA markings under the Construction Products Regulation. These certifications reinforce its reputation as a dependable supplier, trusted by diverse industries worldwide for quality, safety and regulatory compliance.
Culture & Credibility
Guided by core values such as customer focus, accountability, respect and excellence, the team fosters a culture of trust, inclusion and continuous improvement. These principles support resilience, loyalty and sustainable growth in a competitive landscape. Aligned with its mission to lead through sustainability, innovation, and excellence, the company emphasizes eco-friendly practices, strategic partnerships and technology-driven efficiency.
Today, Bahru Stainless has earned strong client recognition for its commitment to quality and reliability. Since resuming operations, the company has maintained a zero customer claim record, down from a previous average of 0.4 percent, highlighting its focus on flawless delivery. MARUBENI-ITOCHU STEEL (M) SDN BHD praised the company’s production and quality control during a recent facility visit, reinforcing its operational excellence. Additionally, a key client in hard disk manufacturing resumed orders after evaluating alternatives, citing its superior product quality.
A Robust Future Roadmap
Bahru Stainless plans to install a 65MWp solar power generation plant to fully meet its energy requirements. This green initiative will replace grid-supplied electricity, generating significant cost savings while reducing the company’s Scope 2 (indirect) carbon emissions. Once Malaysia implements its carbon pricing mechanism in 2026, the project will further lower carbon tax liabilities. Aligned with global decarbonisation trends, the initiative also strengthens appeal to ESG-conscious buyers and opens opportunities for premium pricing.
We’re not just restarting a plant; we’re reshaping Malaysia’s role in the global stainless steel value chain
In total, the company is targeting an increase in monthly cold-rolled stainless steel production capacity to 30,000 metric tons (mt) by the end of 2026. This strategic expansion includes driving revenue growth and market share by capturing the rising demand in automotive, construction, and industrial sectors to boost volumes and sales. Additionally, the company wishes to optimize operations to lower per-unit costs of conversion and improve margins. Last, but not the least, the company plans to ensure consistent product availability and faster lead times for customers.
Together, the 65MWp solar project and capacity expansion position Bahru Stainless as a cost-efficient, scalable, and sustainable leader in the stainless steel industry.
Danny Tan Wei Beoh, CEO, Bahru Stainless
Danny Tan Wei Beoh, CEO of Bahru Stainless Sdn Bhd and Yankong Group, is a transformational leader with a mechanical engineering degree from the UK. He has evolved Yankong into a vertically integrated stainless-steel leader, stabilized and elevated Bahru Stainless, and champions sustainability, process optimization, innovation and customer-focused strategies, driving operational excellence, global competitiveness and long-term resilience.
Awards & Recognition
Bahru Stainless has earned numerous local and international accolades, solidifying its leadership in safety, sustainability, and innovation within the stainless steel industry. These achievements reflect its unwavering commitment to operational excellence, environmental responsibility, and workplace safety.
Sustainability Initiatives:
2018 – Best Environmental Impact (Europa Awards for Sustainability)
Recognized by the EU-Malaysia Chamber of Commerce & Industry (EUMCCI) for outstanding environmental practices and contributions to sustainable industrial growth in Malaysia.
2019 – ISSF Silver Medal for Sustainability (“Metal Waste is NOT Waste” Project)
Pioneered the transformation of metal oxide and scale residues into high-value secondary raw materials, advancing circular economy principles.
2021 – ISSF Gold Medal for Sustainability (“From Acid Pickling Sludge to Clay Brick” Project)
Successfully converted hazardous sludge into eco-friendly construction materials, reducing environmental impact and supporting sustainable building practices.
2023 – Worldstainless Bronze Award for Sustainability (Annealing Furnace Revamping)
Achieved a 6% reduction in natural gas consumption, enhancing energy efficiency and lowering emissions.
2024 – Worldstainless Bronze Award for Sustainability (“Sustainable Packing Material for Continual Re-use” Project) Introduced reusable packaging solutions to minimize industrial waste and promote circularity.
Excellence in Workplace Safety:
2023 – Worldstainless Gold Award for Safety (“Smart Safety Zone” Project)
Implemented an intelligent sensor-based barrier system to reduce human-machine interface risks and enhance workplace safety.
2025 -- Bahru Stainless has reached an incredible safety milestone of 1,000,000 Non- Lost Time Injury Safe Man-Hours (period Sept 14, 2023 - May 31, 2025)
Beyond awards, Bahru Stainless holds prestigious certifications recognition for its products & service, including:
JIS (Japanese Industrial Standards) – Compliance with rigorous manufacturing criteria.
TÜV Certification (Pressure Equipment Directive - PED) – Ensuring the highest safety and performance standards.
CE & UKCA Markings (Construction Products Regulation) – Meeting stringent international regulatory requirements.
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