ThyssenKrupp seeks buyer for Brazilian and US steel plants

16 May 2012

1

German industrial giant ThyssenKrupp yesterday said that it is considering taking on a partner or sell its steel plants in Brazil and the US in the face of rising costs and slow demand in North America.

After posting a €1 billion loss for 2012 at its Brazil and the US operations, the Essen-based steelmaker said in a statement that the economic parameters have changed since the development strategy for its plants in Rio de Janeiro and in Mobile, Alabama.

''Since the plans for the project were made in the economic parameters both in the USA and Brazil have changed from our original assumptions," said Dr. Heinrich Hiesinger, chairman of ThyssenKrupp.

Hiesinger said, "There are clear reasons that now call this strategy into question. Therefore we have to examine whether it still makes sense strategically to operate the two plants in a common integrated network."

ThyssenKrupp started operating its CSA steel-slabs plant in Rio de Janeiro in 2010, which has a capacity to produce five million tonnes of steel annually, while its steel mill in Calvert, Alabama, also opened in 2010.

Brazilian mining giant Vale SA owns 26.9-per cent in CSA steel-slabs plant in Rio Janeiro.

Business History Videos

History of hovercraft Part 3 | Industry study | Business History

History of hovercraft Part 3...

Today I shall talk a bit more about the military plans for ...

By Kiron Kasbekar | Presenter: Kiron Kasbekar

History of hovercraft Part 2 | Industry study | Business History

History of hovercraft Part 2...

In this episode of our history of hovercraft, we shall exam...

By Kiron Kasbekar | Presenter: Kiron Kasbekar

History of Hovercraft Part 1 | Industry study | Business History

History of Hovercraft Part 1...

If you’ve been a James Bond movie fan, you may recall seein...

By Kiron Kasbekar | Presenter: Kiron Kasbekar

History of Trams in India | Industry study | Business History

History of Trams in India | ...

The video I am presenting to you is based on a script writt...

By Aniket Gupta | Presenter: Sheetal Gaikwad

view more
View details about the software product Informachine News Trackers