Arcelor Mittal, Nippon Steel set to sign partnership deal, says report
26 June 2007
Mumbai: World''s top steel makers Arcelor Mittal and Nippon Steel Corporation will enter into a new partnership next month on technology transfer and capacity expansion at their joint ventures, a Japanese business daily reported.
Mittal Steel chairman Lakshmi Mittal and Nippon Steel president Akio Mimura will meet in New York next month to sign the deal, the Nikkei said.
The two firms have long been talking about the pact following Mittal''s acquisition of Nippon ''s strategic partner in Europe Arcelor, to create the world''s biggest steel maker.
A Nippon Steel spokesman declined to comment on the report. Japanese TV Channel reported in May the two top executives are engaged in tough talks over conditions for using Nippon Steel`s car sheet technology, one of the Japanese company`s strongest competitive points.
Mittal wanted to use the technology globally, but appears to have eventually agreed to utilise the know-how only in Europe, the report said.
Mittal is pushing into the high-end, automotive sheet steel market in Brazil, where Nippon`s affiliate Usiminas is expanding production.