Japan's Kobe Steel to start low-cost production in India
Afp, Tokyo
Japan's Kobe Steel Ltd. plans to launch Indian production of steel by 2009 using its technology to keep raw material costs down to a third of current levels, a report said Wednesday. Kobe Steel is in talks with India's Chowgule Group to build a steel mill in the southwestern state of Goa, the Nikkei business daily reported, without identifying sources. The mill will be able to produce 500,000 tons a year with the Japanese firm's investment coming to 20 billion yen (165 million dollars), it said. The two companies are expected to reach a final agreement over the next few months and begin construction by year-end, it said. In addition to India, Kobe Steel is in talks with a US electric furnace steelmaker to begin construction of a mill in the state of Minnesota by the end of this year, while considering production also in Australia, it said.
|
|
