Swiss-based special steel producer and distributor Schmolz+Bickenbach has announced that it has established a joint venture (JV) in China with Chinese steelmaker Tsingshan Group for further growth in the Chinese stainless long steel market. The joint venture company, 60 percent owned by Schmolz+Bickenbach and 40 percent by Tsingshan, will operate under the name of Shanghai Xinzhen Precision Bar Co. Ltd.
According to Schmolz+Bickenbach, the new joint venture will focus on the production of a wide range of drawn bright bars to meet the growing demand in the region. Key feedstock will comprise stainless steel wire rods from Tsingshan as well as from Schmolz+Bickenbach’s business units Ugitech and Deutsche Edelstahlwerke. The new company will produce products mainly for the automotive and electronics industries and also for industrial equipment or food and beverage industries that offer niches with excellent growth potential.