Forging Ahead: The Lion Industries Success Story

For over four decades, Lion Industries Corporation Berhad has been the backbone of Malaysia's metal sector, driving innovation and setting benchmarks in steel production and manufacturing.
March 25, 2025 by
Forging Ahead: The Lion Industries Success Story
Alifah

Forging Malaysia's Industrial Growth

In an exclusive interview with Malaysian Industrial ReviewDato' Seri Tong Poh Keat, Executive Chairman of Lion Industries, shared the company's founding vision:

"When we established Lion Industries in 1978, we saw Malaysia's potential to become a regional metal powerhouse. Today, we supply 25% of the nation's steel needs while exporting to 18 countries."

Key milestones cementing Lion Industries' leadership:

  • 1.8 million metric tons annual steel production capacity
  • RM3.2 billion revenue in FY2023
  • First Malaysian company to achieve ISO 50001 energy management certification
  • Pioneered galvanized steel production in Southeast Asia

Core Business Divisions Driving Excellence

1. Steel Manufacturing (Lion Steel Works)

  • Facilities:
    • 250-acre integrated plant in Perak
    • State-of-the-art electric arc furnace technology
  • Product Range:
    • Structural steel for construction
    • Custom alloys for automotive sector
    • Corrosion-resistant marine-grade steel

2. Metal Recycling (Lion Eco Cycle)

  • Capacity: Processes 500,000 tons scrap metal annually
  • Innovation: AI-powered sorting system achieves 98% purity
  • Sustainability Impact: Reduces carbon footprint by 60% vs virgin steel

3. Downstream Products (Lion Building Solutions)

  • Prefabricated steel structures
  • Light gauge steel framing systems
  • Architectural metal cladding

Technological Leadership in Metal Production

Lion Industries' Smart Factory Initiative features:

✅ Automated quality control with computer vision

✅ Predictive maintenance using IoT sensors

✅ Digital twin simulation for process optimization

✅ Blockchain-based material traceability

"Our RM200 million digital transformation investment has increased productivity by 35%," revealed Dr. Lim Wei Hong, Chief Technology Officer.

Market Expansion and Strategic Moves

Recent Developments

  • Vietnam Expansion: Joint venture for new cold-rolled steel plant
  • Automotive Sector: Supply agreement with Proton for next-gen vehicle frames
  • Infrastructure Projects: Primary supplier for MRT3 and Pan Borneo Highway

Financial Highlights

  • Gross Margin: 28% (industry average: 22%)
  • Export Contribution: 40% of total revenue
  • R&D Investment: 4% of revenue annually

Sustainability: The Green Steel Revolution

Lion Industries' Net Zero 2050 Roadmap includes:

♻️ Transition to hydrogen-based steelmaking by 2030

♻️ 50MW solar farm to power operations

♻️ Zero-waste water recycling system

♻️ Biodiversity conservation around plant sites

"Green steel isn't the future—it's our present," stated Puan Sri Lee Mei Ling, Head of Sustainability. "We've reduced emissions by 45% since 2015 while doubling output."

Industry Recognition

🏆 Frost & Sullivan Malaysian Industrial Excellence Award 2023

🏆 The Edge Malaysia ESG Champion 2022-2023

🏆 ASEAN Energy Award for Efficient Manufacturing

Challenges and Adaptive Strategies

While maintaining market leadership, Lion Industries navigates:

  • Raw material volatility: Hedged through long-term supplier contracts
  • Global competition: Countered with premium specialty steel products
  • Talent shortage: Addressed via technical academies and automation

"Our adaptive manufacturing system lets us pivot production within 72 hours to meet demand shifts," explained Encik Ahmad Faisal, Operations Director.

Expert Perspectives

Tan Sri Dr. Azman Hashim, Industrial Analyst:

"Lion Industries' vertical integration from raw materials to finished products gives them unbeatable cost control and quality assurance in the region."

Datuk Ir. Jamaludin Alias, MITI Representative:

"The company exemplifies Malaysia's heavy industry capabilities, contributing significantly to our national industrialization goals."

Conclusion: Metal That Builds Nations

From skyscrapers to automobiles, Lion Industries' metals form the skeleton of Malaysia's development. With plans to increase capacity by 50% and lead Asia's green steel transition, the company continues its pioneering legacy.


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Forging Ahead: The Lion Industries Success Story
Alifah March 25, 2025
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