POSCO signs agreement with Benxi for cold rolling jv

POSCO signs agreement with Benxi for cold rolling jv

South Korean steel giant POSCO announced that they signed an agreement with Benxi Iron and Steel Company for a joint venture cold rolling mill in China, %10 of which initially will be held by POSCO. Thereafter, company intends to increase its share to 25%. According to the agreement signed today, construction of this new joint venture to be called BX Steel POSCO Cold Rolled Sheet Co., Ltd will start in October and be completed by December 2005, as previously reported on SteelOrbis. New cold rolling mill, expected to have a capacity of 1.8 million tons per year, will produce cold rolled, galvanized and color coated steel sheet which will be supplied to Chinese industry, particularly automobile industry, and subsidiaries of POSCO located in China. It is stated that total investment will be $660 million (approx. Won 778 billion).