Mittal's Bayi Steel acquisition seems impossible

Monday, 13 March 2006 13:58:54 (GMT+3)   |  
       

SteelOrbis Shanghai Mittal Steel was reported to be interested in acquiring some stake in Bayi Steel. However, this Xinjiang province based steelmaker signed a strategic partnership agreement with Shanghai based Baosteel on March 11 in Beijng which prevents Mittal's stake takeover from Bayi Steel. Being strategic partners, Baosteel and Bayi Steel will cooperate in expanding their market shares, developing resources and renewing technology. In China, the government plays an important part in promoting the acquisition and cooperation of large scale state-owned enterprises. Bayi Steel's equipments and technology are outdated. Therefore Baosteel is more likely to give assistance for the development in Xinjiang Uyghur Autonomous Region. Bayi Steel has a monopolistic position in terms of its favourable geographical condition.

Similar articles

Financial and currency market overshadows Vietnamese steel trade

26 Nov | Flats and Slab

China’s HDG market sees low inventories in some regions

26 Nov | Flats and Slab

China’s hot rolled market maintains climbing trend

24 Nov | Flats and Slab

CIS producers attempt to increase their flat steel prices

23 Nov | Flats and Slab

Mills’ new price lists help boost China’s cold rolled market

19 Nov | Flats and Slab

Chinese authorities inspect steel enterprises in Baotou

18 Nov | Steel News

China’s hot rolled market still rises on a fluctuating trend

17 Nov | Flats and Slab

China’s domestic PPGI prices increase further

13 Nov | Flats and Slab

China’s domestic HDG prices fluctuate on an uptrend

12 Nov | Flats and Slab

Chinese cold rolled prices keep rising on fluctuating trend

11 Nov | Flats and Slab