Nippon, ArcelorMittal Defer CGL Construction at I/N Kote
12/05/2008 - Nippon Steel and ArcelorMittal will defer further construction on the new continuous galvanizing line at I/N Kote, based on the sudden downturn of the North American automotive market.
Nippon Steel Corp. and ArcelorMittal have agreed to defer further work on the new continuous galvanizing line currently under construction at I/N Kote, based on the sudden downturn of the North American automotive market.
I/N Kote, a 50/50 joint venture of Nippon Steel and ArcelorMittal, currently manufactures hot-dip galvanized and electrogalvanized steel sheets, primarily for automotive use, with its 500,000 tons/year continuous galvanizing line and 450,000 tons/year electrogalvanizing line. The new continuous galvanizing line—when it is eventually completed—will double the facility’s production capacity of hot dip galvanized (HDG) steel sheets.
Nippon Steel and ArcelorMittal view the North American automotive steel sheet market as one of the most important markets for which mid- andlong-term growth are expected. The partners say they will adhere to their basic policy that they should enhance their presence in the market by supplying high quality high-grade hot-dip galvanized steel sheets, including high-tensile products.
To this end, the companies said that they will continue to carefully analyze the market situation and discuss the market forecast as it continues to evolve. The companies plan to resume construction on the new continuous galvanizing line once the partners gain a perspective of recovery for North American automotive production.
Located in New Carlisle, Ind., I／N Kote LP was established in September 1989. A 50/50 venture between Nippon Steel and ArcelorMittal, I/N Kote produces and sells hot-dip galvanized and electrogalvanized steel sheets mainly for automotive use.
Located in New Carlisle, Ind., I／N Kote LP was established in September 1989. A 50/50 venture between Nippon Steel and ArcelorMittal, I/N Kote produces and sells hot-dip galvanized and electrogalvanized steel sheets mainly for automotive use.
