Tata Steel Secures Long-Term Deal to Supply Aerospace Steels to Safran Group
06/19/2013 - Tata Steel has secured a long-term agreement to supply aerospace steels to Safran Group, a world-class manufacturer of aircraft, rocket engines, propulsion systems and aircraft equipment.
Tata Steel has secured a long-term agreement to supply aerospace steels to Safran Group, a world-class manufacturer of aircraft, rocket engines, propulsion systems and aircraft equipment.
The five-year agreement gives Tata Steel responsibility for supplying all aspects of Safran’s aircraft-quality steel requirements worldwide, including remelted steels, both direct to Safran Group companies and to its subcontractors. The initial value of the contract is in excess of £9 million per year, with prospects for this to grow during the life of the agreement.
The success follows the commissioning in 2012 of two new vacuum arc remelting (VAR) furnaces at Tata Steel’s Stocksbridge works in South Yorkshire and the opening last year of a second aerospace service centre in China. VAR furnaces enable the production of ultra-high purity steels by improving the material’s chemical and mechanical properties so as to meet the exacting standards of the world’s most demanding applications, such as energy exploration and generation, as well as aerospace.
Mark Broxholme, managing director of Tata Steel’s Speciality Steels business, which produces the company’s range of aerospace steels, said, “We have a long and successful record of supplying aerospace quality steels into the Safran Group. This is a significant award for Tata Steel and continues our long-term commercial and technical relationship with an important customer in this demanding market sector.”
Jean Claude Begue, Safran’s lead buyer — machining bars, commented, “It is fantastic news today to sign our long-term agreement with Tata Steel. Their brand in the aerospace sector is very well respected and up there with the best in the industry."
Andrew Parker, commercial director of speciality steels, said, “This agreement has been won after Safran benchmarked us against multiple global suppliers and allows us to formalize a longstanding and successful relationship.
“The agreement covers both mill direct businesses to Safran Group as well as supply into their subcontractor supply chains. Our aerospace service centers in Bolton, UK, and Suzhou and Xi’an in China are well positioned to service the needs of these networks and deliver additional value to the customer.”
The European operations of Tata Steel comprise Europe's second largest steel producer. With the main steelmaking operations in the UK and Netherlands, they supply steel and related services to the construction, automotive, packaging, lifting & excavating, energy & power, aerospace and other demanding markets worldwide. The combined Tata Steel group is one of the world’s largest steel producers, with an aggregate crude steel capacity of more than 28 million tonnes and approximately 80,000 employees across four continents.
Safran is a leading international high-technology group with three core businesses: aerospace (propulsion and equipment), defense and security. Operating worldwide, the group has 62,500 employees and generated sales of € 13.6 billion in 2012. Working alone or in partnership, Safran holds world or European leadership positions in its core markets. The group invests heavily in research & development to meet the requirements of changing markets, including expenditures of € 1.6 billion in 2012.
