Japanese steelmaker Nippon Steel has announced that it has agreed with Australia-based steel producer BlueScope Steel Limited to establish a joint venture producing coated products (hot dip galvanized sheets, painted sheets, and roll-formed building products) in Southeast Asia and the US.
Nippon Steel and BlueScope will be equal participants in the joint venture. Nippon Steel is expected to invest $554 million and the equity investment procedures are expected to be completed by the end of March 2013.
The joint venture will have a galvanizing capacity of 1.4 million mt per year, a painting capacity of about 650,000 mt per year and a cold rolling capacity of 800,000 mt per year. It aims to provide quicker responses to the rapidly expanding demand for coated products in the building and construction fields in Southeast Asia and North America.