New Delhi: ArcelorMittal, the world’s leading steel and mining company, and the Steel Authority of India Limited (‘SAIL’), India’s leading steel company, today, signed a Memorandum of Understanding (‘MoU’) to set up an automotive steel manufacturing facility under a Joint Venture (‘JV’) arrangement in India.
The MoU was signed in London today by Lakshmi Mittal, Chairman and CEO of ArcelorMittal, and C.S. Verma, Chairman of SAIL. Rakesh Singh, Secretary to the Government of India, Ministry of Steel and Aditya Mittal, ArcelorMittal CFO and CEO ArcelorMittal Europe, were also present.
The MoU is the first step of a process to establish a JV between the two companies. The proposed JV will construct a state-of-the-art cold rolling mill and other downstream finishing facilities in India that will offer technologically advanced steel products to India’s rapidly growing automotive sector. India is forecast to become the world’s fourth largest automobile manufacturing nation by 2020, growing from approximately 3.5 million units today to over 7 million units1. In response to the level of demand, and supported by the Indian Government’s ‘Make In India’ programme, which has been designed to transform India into a global manufacturing hub, automotive manufacturers have been establishing an increased presence in the country.
