Nippon Steel makes $763 million acquisition of two Thai steelmakers

Japan is making a move to spend cash on Thai metal. Nippon Steel Corp, the largest manufacturer of metal in Japan has announced a strategic deal to buy stakes in two main steelmakers in Thailand. The deal is reported to be value as much as US $763 million – about 25 billion baht.
The giant steelmaker has been interested in acquqiring G Steel and GJ Steel, the two Thai corporations in the buy deal, as they utilise a special technique to produce their steel. The Thai businesses use electric arc furnaces, which creates liquid steel out of scrap metal buy utilizing high-current electic arcs.
Bona fide in Japan use coking coal in a blast furnace to create their metal. This methodology uses sizzling combustion air blown via a furnace to smelt the metal into molted metallic, fueled by the special sort of coal to create the warmth. The process isn’t terribly eco-friendly, because it emits polluting carbon dioxide as a byproduct of the smelting.
Nippon Steel will first invest about US $300 million to buy a stake in each firm as a path to move in path of cleaner and more environmentally responsible metal manufacturing. The Japanese company revealed in November that they see the market rising and so they’re additionally looking for options in Southeast Asia to puchase a metal mill that could assist their factories with sources for making iron..

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