Finland-based stainless steel producer Outokumpu has announced that it has completed the acquisition of a 10 percent interest in Germany-based stainless steel scrap and ferroalloy producer CRONIMET’s subsidiary CRONIMET North-East GmbH and has become a minority shareholder in the company, with the aim of securing high-quality scrap supply.
As a shareholder, Outokumpu will act as a strategic partner in CRONIMET’s Northeastern business, while CRONIMET retains full operational control of the companies involved. Outokumpu does not see integration into the supply chain of stainless steel scrap as part of its raw material strategy, but considers cooperation as the way forward.
The parties have also agreed to jointly carry out research with the goal to improve technologies to further reduce carbon emissions, lower costs and drive waste reduction within the supply chain, as SteelOrbis previously reported.