Kobe Steel and China's Jiangsu Aluminium will establish a joint venture



Recently, Kobe Steel Co., Ltd. of Japan signed a letter of intent for cooperation with China's Jiangsu Aluminum Corporation. It is reported that the two parties will establish a joint venture company in Baotou, Inner Mongolia, China, and it is expected to start production in 2015, mainly producing aluminum coils and aluminum sheets for automobiles and beverage cans, with an annual production capacity of approximately 200,000 metric tons.



Established on September 1, 1905, Kobe Steel is one of Japan's leading steel producers and Japan's top supplier of aluminum products and copper products. The company's steel products include wire rods, color coated panels, and high tensile strength steel sheets. At the same time, the company has branch offices in Japan, the Americas, Asia, and Europe. The company has high-tech business in electronics and information systems.

With the rapid increase in the demand for aluminum sheets in the Chinese market, the main products of the Kobe Steel Group are aluminum coils and aluminum sheets. The joint venture with the Jiangsu Chang Aluminum Company will meet the growing demand in the Chinese market and will help to consolidate Its position in China and even the entire Asian market.

According to the plan of “Letter of Cooperation”, the joint venture company established by the two parties will be established in January 2013. The name of the company has not yet been confirmed. 80% of the company’s shares are held by Kobe Steel and Changlv Aluminum Industry Co., Ltd. holds 20 shares. %, the total investment of the two sides is about 40 billion yen (about 510 million US dollars).

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