Kobe Steel to launch in India
The US$21.7 billion Kobe Steel Ltd, will set up a subsidiary in Kolkata to market its steel production machinery in India. The Japanese steel major will be the fourth global company to set up a base in India after Posco, ArcelorMittal and SinoSteel.
Kobe Steel will hold 90% equity in the new company, Kobelco Machinery India Private Limited (KMI), while trading firm Shinsho Corporation, a Kobe Steel affiliate, will hold the remaining 10%. KMI is the first unit in India in which Kobe Steel Ltd will directly hold equity share.
The new company will have an equity base of Rs40 lakh. It will sell steel rolling mills, continuous casters, non-ferrous rolling mills and presses. More significant, KMI will also be the scouting for opportunities to extend its activities into steel manufacturing at a later stage.
Kobe Steel is Japan’s top supplier of steel bar rolling mills supplies steel bar rolling mills and wire rod mills, continuous casters etc with annual heavy machinery sales amounting to around 10 billion yen.