Capital market-relevant press releases, 2001-02-08, 01:00 AM
ThyssenKrupp Stahl and Angang New Steel Co. plan joint venture in China
German Thyssen Krupp Stahl AG (TKS) and Chinese ANSC Angang New Steel Co. intend to establish a joint venture to build and to operate a hot-dip galvanising (HDG) facility in China. On February 8 th, Dr. Wolfgang Kohler, Chairman of the Executive Board of Thyssen Krupp Stahl AG, and Chairman of ANSC Academician Liu Jie have initialled the main agreement drafts which - as well as a feasibility study already signed by both parties - will be submitted to the Chinese State authorities for approval. The legally binding signing of the contracts is scheduled after completion of final negotiations to be continued until approval of necessary governmental and board authorities.
The objective of the intended joint venture is a hot-dip galvanising line with a capacity of 400,000 tons per year targeted to mainly serve the dynamically expanding automotive industry in China. The plant will be built in Dalian, the biggest seaport in Northern China situated 300 miles northeast of Beijing and 200 miles south of Anshan. It is envisaged that TKS and ANSC will hold a 50 % share each in the joint venture.
"For Thyssen Krupp Stahl AG this joint venture is an important part of our strategy to extend our presence in target markets by building up local downstream productions facilities as e.g.a hot-dip galvanising line. By cooperating with leading domestic steel producers like ANSC, TKS is able to serve automotive customers on a global scale", TKS CEO Dr. Kohler said when initialling the draft agreements.
ANSC Angang New Steel Co. is one of China's leading steel producers. "By investing into leading-edge technology, we expand particularly in high value-added steel increasingly needed by automotive industry. The planned joint venture will benefit both from ANSC's competence and TKS's know how and experience in serving international automotive customers", ANSC Chairman Academician Liu Jie stated.
Duisburg, February 8 th
Thyssen Krupp Stahl AG
Telephone: (0203) 52-26267
Telefax: (0203) 52-25707