Japanese steel producer Nippon Steel Corporation has announced that it has signed a memorandum of understanding with its subsidiaries Nippon Steel Metal Products, Nippon Steel Pipe and Nippon Steel Coated Steel Pipe regarding the restructuring of its business. The restructuring is expected to create a more efficient business structure and enhance the competitiveness of Nippon Steel and its subsidiaries in the domestic ERW steel pipe market.
The restructuring will take effect on April 1, 2025. Accordingly, Nippon Steel Metal Products will take over the commercial rights for construction steel pipes currently held by Nippon Steel Pipe through a company split. Meanwhile, Nippon Steel will absorb Nippon Steel Pipe’s mechanical steel pipe business through a merger.
In addition, Nippon Steel Coated Steel Pipe will transfer its commercial rights for mechanical steel pipes to Nippon Steel. The production structures of Nippon Steel, Nippon Steel Metal Products and Nippon Steel Coated Steel Pipe will also be optimized as part of the restructuring.
