Executive Interviews

Asian Metal: Hello Mr. Shabbir, thank you for attending the interview. Please briefly introduce the development process and equipment composition of Siddiqsons Tinplate Limited.

Mr. Shabbir: My pleasure. Established in 1999, Siddiqsons Tin Plate Limited is the sole tin plate producer in Pakistan. The factory is located in Windher, Baluchistan, 95 kilometers from Karachi, with an annual production capacity of 120,000 tons. The tin plate plant was imported from America and adopts the Ferrostan process technology. The company is equipped with cutting-edge technology, enabling the production of tin plate with both equal coating on both sides and differential coating. We can produce tin plate with coating ranging from 1 g/m2 to 5.6 g/m2. The products are primarily used for manufacturing cans and containers for packaging cooking oil, fruits, foods, vegetables, seafood, beverages, lubricant oil, and other edible products. The company sells around 90% of its tin plate within Pakistan, with the remaining 10% exported to Europe.

Asian Metal: How about the production capacity utilization rate of Siddiqsons Tinplate Limited in 2025 and 2026?

Mr. Shabbir: During 2025, Siddiqsons Tinplate Limited maintained a prudent capacity utilization strategy aligned with prevailing market conditions, demand patterns, and supply chain factors. Our approach focused on operational stability, cost optimization, and strengthening our market presence rather than pursuing aggressive volume growth. For 2026, we are targeting a gradual improvement of 15% to 20% in capacity utilization, supported by expanding customer engagement, product diversification, and improved supply chain visibility. Our strategic priority remains sustainable and profitable growth while maintaining high quality standards and operational excellence. This measured approach allows us to remain resilient in a challenging global steel and tinplate market while positioning the company for stronger utilization levels as market fundamentals improve.

Asian Metal: What raw materials do you mainly consume? Do you buy from China? How about the monthly consumption volumes?

Mr. Shabbir: We purchase black plate (BP) as the raw material, with approximately 10%–20% imported from China and the remainder sourced locally. Monthly consumption volumes stand at about 3,000 mt or more.

Asian Metal: How about the demand for tin plate so far this year? Has it witnessed any obvious change compared with 2025? Do you expect demand to improve in the second quarter of 2026?

Mr. Shabbir: The demand for tin plate in 2025 stood at 60,000–80,000 t, and we met nearly 50% of this demand. In 2026, demand is likely to remain similar to 2025, but we aim to raise our market share to 55%–65%. Demand in the second quarter of this year is expected to improve gradually.

Asian Metal: Please introduce the price situation of tin plate in Pakistan in 2025.

Mr. Shabbir: Prices of tin plate in Pakistan experienced a fluctuating trend during 2025, broadly following the global steel and raw material cycle. Taking 0.25 mm tin plate as a reference, import prices reached around USD 1,100/mt before declining to approximately USD 780–800/mt towards the end of the year. This downward correction was primarily driven by the influx of lower-priced secondary materials, which temporarily distorted market dynamics and exerted pressure on both pricing and quality benchmarks. From a domestic perspective, locally produced tin plate is generally positioned at a premium compared to imported secondary or low-grade materials, reflecting consistent quality, reliable supply, and compliance with end-user specifications. It may also command a premium over imported prime material due to advantages such as immediate availability and the absence of lead times and LC-related constraints. However, the price gap between local and imported prime material typically remains within a manageable range. Based on market behavior, when this differential widens beyond a certain threshold—particularly in a price-sensitive environment—some customers tend to shift toward imports. As a general indication, this shift may occur if the price gap exceeds approximately USD 25/mt. That said, for critical applications, customers continue to prioritize quality and consistency over short-term price advantages.

Asian Metal: What about your forecast for the price trend of tin plate in the second quarter of 2026?

Mr. Shabbir: Moving into the second quarter of 2026, we anticipate a firming trend in tin plate prices. With the conclusion of Ramadan, downstream demand from sectors such as food packaging and industrial applications is expected to improve gradually. In addition, the upward trajectory in key raw materials, particularly tin ingot—which saw a significant increase during 2025—continues to provide cost support to finished product prices. On the policy side, supportive measures aimed at regulating the influx of substandard imports, along with a more structured import environment, are expected to create a healthier competitive landscape for domestic manufacturers. Furthermore, any stabilization in exchange rates and improved industrial sentiment would also contribute positively to price momentum. Considering these factors, we expect import prices of tin plate to recover toward around USD 1,000/mt by the end of June 2026, with the domestic market following a similar upward trajectory in a more stable and sustainable manner.

Asian Metal: How do you plan to promote competitiveness in the coming one or two years?

Mr. Shabbir: We aim to shorten delivery times to improve service. In addition, we will expand processing services to attract potential customers. Meanwhile, we will reduce energy consumption and cut costs in order to offer more competitive prices. We also plan to increase production to raise our market share. For delivery, we aim to fulfill orders within two days when stock is available. For orders without stock, we endeavor to deliver within seven days. Normally, we maintain around 45 days of inventory.