Sumitomo, Nisshin Steel to make steel tubing for cars in India

Our Corporate Bureau
18 June 2007

Tokyo: Japan''s third largest trading company, Sumitomo Corp, is partnersing with Nisshin Steel, the third biggest stainless steelmaker, to jointly produce steel tubing for cars in India.

Sumitomo said today at a press conference in Tokyo that the two companies will form the venture in August, 51 per cent of which will be owned by a local company.

Japanese steel users such as Toyota Motor, Suzuki Motor and Honda Motor are expanding in India as rising incomes boost vehicle purchases.

Toyota estimates the nation''s car market will rise 38 per cent from 2005 levels to two million vehicles by 2010.