Dongkuk Steel to join steel project in Brazil

Dongkuk Steel to join steel project in Brazil

South Korea's Dongkuk Steel Mill (DSM) announced that it would sign a memorandum of understanding (MoU) with Brazilian partners, including mining giant Companhia Vale do Rio Doce (CVRD), to join in a $750 million steel plant project in Brazil. The planned steel plant will be designed to produce 1.5 million tons of slabs annually. DSM, which boasts an annual slab consumption of 2.7 million tons, will hold a 10% stake in the plant. The plant is scheduled to begin operation by the end of 2007. DSM will likely import more than half of the slab produced at the Brazilian plant to South Korea.