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GMS Market Commentary on Shipbreaking in Turkey in Week 46 - STRUGGLING!!

Ever since the recent most market crash, the Turkish ship recycling sector continues to struggle, despite key fundamentals taking turns at gradually improving on a weekly basis. While local steel plate prices have found a new steady base at about USD 330/MT over the last couple of weeks, the Lira continues to strengthen, gradually approaching the TRY 5.0 market (currently at TRY 5.32 at the time of writing).

However, even though indications firmer than those stated on Page 1 of the GMS Weekly have been forthcoming, a lack of local fixtures at these reportedly improved rates is yet to materialize.

Additionally, with subcontinent markets marching almost USD 200/Ton ahead, even smallish LDT tonnage is bypassing the shores of Aliaga, heading East.

As such, other than the bare minimum number of offshore / green units that are departing European shores and heading for Turkish waters, the supply of meaningful tonnage into Aliaga has made it an ongoing struggle for local Recyclers to keep their yards operational.

Unless prices from Turkey improve or levels in the subcontinent fall, Turkey, like China, seems to have entered into its own unique ‘neverland’.

Source : Strategic Research Institute
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WTO onderzoekt staalheffingen VS - media

(ABM FN-Dow Jones) De wereldhandelsorganisatie WTO zal onderzoek doen naar de door de Verenigde Staten opgelegde importheffingen op staal en aluminium. Dit maakte de organisatie volgens persbureau Bloomberg woensdag bekend.

De VS stelde deze heffingen in vanwege zorgen over de nationale veiligheid. Onder meer de Europese Unie en China vroegen de handelsorganisatie om de heffingen te onderzoeken. Deze zouden namelijk bedoeld zijn om de belangen van de VS te versterken in plaats van de veiligheid te waarborgen.

Door: ABM Financial News.
info@abmfn.nl
Redactie: +31(0)20 26 28 999

© Copyright ABM Financial News B.V. All rights reserved.
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Winstdruk voor Thyssenkrupp

(ABM FN-Dow Jones) Thyssenkrupp heeft in het afgelopen boekjaar meer omzet behaald, maar de winst onder druk zien staan. Dit meldde het Duitse conglomeraat woensdag voorbeurs.

De omzet steeg afgelopen boekjaar met 3 procent naar 42,7 miljard euro, of met 5 procent op vergelijkbare basis.

De orderinstroom was met 42,8 miljard euro vergelijkbaar met een jaar eerder, maar aangepast voor wisselkoerseffecten stegen de orders met 2 procent.

De aangepaste EBIT daalde echter van 1,7 miljard naar 1,6 miljard euro.

De nettowinst liep terug van 271 miljoen naar 60 miljoen euro. Dat was onder meer het gevolg van een provisie die Thyssenkrupp nam voor een lopende kartelzaak.

Outlook

Voor het nieuwe boekjaar mikt Thyssenkrupp op een aangepaste EBIT uit voortgezette activiteiten van meer dan 1 miljard euro, waar dit afgelopen jaar 706 miljoen euro was. Ook de nettowinst zal flink stijgen.

De vrije kasstroom zal nog altijd negatief zijn, waarschuwde de onderneming, maar wel "significant" verbeteren ten opzichte van afgelopen jaar.

Ook presenteerde Thyssenkrupp vandaag de details van de plannen om het bedrijf op te splitsen. Deze opsplitsing werd al in september aangekondigd.

De industriële divisies, zoals de liftentak en de toeleveringen aan de autosector, zullen worden ondergebracht in Thyssenkrupp Industrials, terwijl de resterende bedrijfseenheden, de staal en aanverwante activiteiten, in Thyssenkrupp Materials zullen worden gecombineerd.

Na afronding van de splitsing zullen bestaande aandeelhouders in beide bedrijven een belang houden.

Door: ABM Financial News.
info@abmfn.nl
Redactie: +31(0)20 26 28 999

© Copyright ABM Financial News B.V. All rights reserved.
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Nippon Steel braces for weaker prices amid fears over China slowdown

Reuters reported that Nippon Steel & Sumitomo Metal Corp is bracing for a weaker steel market in Asia because the escalating Sino-US trade war may crimp steel demand in top buyer China and in Southeast Asia. Nippon Steel Executive Vice President Katsuhiro Miyamoto told Reuters in an interview last week “The biggest uncertainty is how steel demand and the market in China and Southeast Asia will change.We expect steel prices in Asia to weaken in the second half (October to March) from the first half (April to September), though Japanese market will likely stay solid on strong demand.”

The world’s third-biggest steelmaker by crude steel output booked a 43 percent rise in net profit for the six months ending in September as its profit margins rose by 3,200 yen ($28.44) per tonne on higher product prices.

But the company assumes the margin improvement will drop to 2,000 yen for the year as steel prices in the rest of Asia are expected to drop in the six months between October and March versus the earlier six-month period, Miyamoto said.

Chinese futures prices for steel rebar used in construction have slipped 4 percent since the end of September to their lowest since July amid increasing uncertainties about global trade and concerns of slowing demand in China.

“The U.S.-China trade friction has had limited impact so far on the global steel market due to healthy demand in China and other areas, but if the Chinese economy weakens and China boosts steel exports to Southeast Asia, it will certainly have an impact,” he said.

Japanese steelmakers are enjoying solid domestic demand from automakers and machinery manufacturers as well as the construction sector, which is busy with projects for the 2020 Tokyo Olympics.

But natural disasters and glitches at their ageing facilities have prevented them from producing as much steel as they had planned.

Nippon Steel trimmed its annual crude steel output forecast to 42.1 million tonnes this month from its August prediction of 43.3 million tonnes, blaming heavy rains and system troubles.

Miyamoto pointed to a combination of factors behind the glitches including generational turnover among the company’s engineers and the higher load on its facilities to make advanced products.

“We have created a team of experts who goes around our factories and gives technical guidance,” Miyamoto said, adding an integrated facility management system, completed in April, should also help it improve systematic maintenance.

The steelmaker aims to produce 11 million tonnes in crude steel each quarter in the next business year and is sticking to its target of annual output of 45 million tonnes in the year to March 2021, Miyamoto said.

Source : Reuters
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Thyssenkrupp supervisory board fails to appoint Daimler CFO - Report

Reuters, citing two sources familiar with the matter, reported that Thyssenkrupp’s supervisory board on Tuesday failed to agree on recruiting outgoing Daimler finance chief Bodo Uebber. The sources said “Uebber, who has been touted as a candidate to become chairman of the steel-to-submarines conglomerate, was backed by shareholder representatives Cevian and the Alfried Krupp von Bohlen and Halbach Foundation, but his demands on board compensation drew fire from employee representatives.”

Uebber, a core part of the Daimler management team that nursed Mercedes-Benz back to health after a messy divorce from Chrysler, had been expected to fill one of two vacant seats on Thyssenkrupp’s supervisory board.

The disagreement comes a day ahead of the group’s annual news conference, at which Chief Executive Guido Kerkhoff will be grilled on a landmark corporate split that has so far failed to revive the group’s share price.

Source : Reuters
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Rizhao Baohua orders continuous hot skin pass mill with tension leveling line from Primetals Technologies

Chinese steelmaker Rizhao Baohua New material Co Ltd (Rizhao Baohua) awarded Primetals Technologies a contract for the process supply of a continuous hot skin pass and tension levelling line. The new line will be installed at the company´s production facility in Rizhao, Shandong Province. The objective is to process black coil with good flatness characteristics and to ease the downstream tube fabrication and welding for applications in the construction and pipe industries. The CHSPM line is designed to process 1.2 million metric tons per year. The completely integrated equipment and automation solution offers Rizhao Baohua precise control of productivity, product quality and availability, thus improving profitability. The line is scheduled to start operating in February 2019.

Primetals Technologies is responsible for the process supply of the CHSPM line especially designed for the processing of incoming black coil, including engineering, manufacturing, and commissioning. The complete drives and automation technology for the line is also part of the project, ensuring the seamless interplay of all components. Specifically, the CHSPM is composed of a double coil charging and entry section design for heavy incoming black coils, a 6-strand horizontal looper 6, a skin pass mill with a maximum roll force of 1,500 tons, a 60 tons tension leveler, inspection facilities and an exit and coil dispatching system. The line is equipped to process strip with thicknesses ranging from 0.6 to 4 millimeters and widths between 900 and 1,600 millimeters at a process speed of 370 meters per minute. Maximal coil weight is 35 tons.

All equipment is based on the proven Primetals Technologies processing lines solution which ensures good flatness and exit strip surface roughness, and is designed to operate efficiently with minimal downtime in order to achieve a low cost per ton. In addition, the overall solution has been optimized to reduce costs for the associated civil works, which will be carried out by Rizhao Baohua.

Source : Strategic Research Institute
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Chinese Panhua Group inks MoU for 10 million tonnes steel plant in Philippines

Manila Times reported that Chinese steel company Panhua Group Co Ltd is set to invest USD 3.5 billion in a Philippine venture that is expected to create 50,000 jobs. Panhua will set up a 305-hectare integrated steel manufacturing plant at the Phividec Industrial Estate of the Misamis Oriental Special Economic Zone

Trade Secretary Ramon Lopez announced the investment on Tuesday at the beginning of the two-day state visit of Chinese President Xi Jinping to the Philippines. Lopez led the signing of the memorandum of understanding (MoU) between Panhua Chairman Xinghua Li, Phividec Industrial Authority Administrator Franklin Quijano, and Philippine Economic Zone Authority (PEZA) Deputy Director General Tereso Panga on Tuesday.

Lopez said the USD 3.5-billion investment would consist of a port, an integrated steel mill with a capacity of 10 million tonnes, an industrial park, and other downstream industries. The three-phase project is expected to be completed in six to seven years.

Source : Manila Times
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JSW Group plans captive port at Pavinkurve in Karnataka

Business Line reported that JSW Group is looking to set up a captive port at Pavinkurve in Karnataka’s Honnavar taluk with an investment of INR 2,000 crore. The port will meet the demand for its Vijayanagar steel plant, which is being expanded to 18 million tonnes from 12 million tonnes. The report quoted a JSW official as saying that “We have submitted a proposal, including a detailed project report, to the Karnataka government for setting up a captive port at Pavinkurve with a capacity to handle 15 million tonnes of cargo. The entire 15 mt of cargo for the port will come from JSW only. There is no other cargo. It’s unlikely that anyone else will participate in the Swiss Challenge.”

A spokesman for Karnataka’s Ports Department confirmed receiving the proposal from JSW Group. He said “We will scrutinize the proposal and implement the port project through the Swiss Challenge mode.”

Under the Swiss Challenge method for suo motu proposals such as the one filed by the JSW Group, the State government will call for competing counter offers. JSW will shall have the right of first refusal to match the highest bid submitted in the tender and develop the port.

A new port is key to JSW’s plan to expand the capacity of Vijayanagar steel plant. Currently, JSW is meeting the logistics needs of the steel plant through two multi-purpose berths run by South West Port Ltd, a subsidiary at Mormugao Port in Goa. At 4 lakh tonnes per month, South West Port is able to handle only 3.6 million tonnes of coal a year or half the requirement of the steel plant. JSW is meeting the balance requirements through a terminal run by the Adani Group at Mormugao Port and partly through New Mangalore Port and privately-run Krishnapatnam port.

Source : Business Line
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Evraz to ramp up the production of railway wheels at Nizhniy Tagil

Evraz plans to ramp up the production of railway wheels steel maker Evraz by investing USD 60 million in its Nizhniy Tagil Steel Plant in the Ural Mountains to boost its railway-wheel production capacity. The aim is to optimise the forging, inspection and machining lines, in order to increase output by 78,000 wheels per year, while meeting the most stringent customer requirements. The project includes the installation of two automatic full-section wheel-machining lines and the construction of a line with laser measurement of wheel geometry plus non-destructive testing stations for surface and internal defects, a shot peening plant and an embossing station.

Evraz vice-president (sales and logistics) Ilya Shirokobrod said: “In recent years, we have seen a steady growth in the demand for railway wheels in Russia. Our focal point is to increase our share of this market and meet the growing needs of customers. On top of the current project, we are also considering the construction of a second wheel shop, with a capacity of 200,000 wheels per year.”

Source : Strategic Research Institute
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Philippines slaps fine on MacGlobal

B World Online reported that the Philippine Competition Commission (PCC) approved Macsteel Global SARL BV’s (MacGlobal) acquisition of MSSA Investments’s stake in Macsteel International Holdings BV, but slapped the companies with a more than P 500,000 fine for its failure to notify the competition watchdog within the required period. The antitrust body said the merger of the steel firms was cleared because it was not seen as substantially lessening competition in the market.

In July, MacGlobal bought 50% of MSSA Investments B.V.’s shares in Macsteel International. MacGlobal is a subsidiary of Macsteel Holdings Luxembourg, while MSSA is an indirect subsidiary of Dutch steel and mining company ArcelorMittal S.A.

The PCC found in its review in October that there are no substantial changes to the management and operations of Macsteel International and its subsidiaries after the buyout. Enough competitors were also present post-transaction.

However, MacGlobal and MSSA could not escape the fine for violating the notification requirement.

Under the PCC Rules of Merger Procedure, firms that notify beyond the 30-day period but before consummating the transaction are subjected to a fine of 1/2 of 1% of 1% of the value of transaction… [T]he fine imposed on MacGlobal-ArcelorMittal transaction amounted to P526,219.50,” the PCC said, without disclosing the transaction value.

MacGlobal and MSSA, the two companies behind the Macsteel International joint venture, have 45 days from Nov. 14 to settle its fine with the PCC.

Source : B World Online
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Kogi Iron appoints Mr Paul Marsden as special advisor

Kogi Iron Limited has appointed Paul Marsden as Special Advisor to the Board. Mr Marsden is based in the United Kingdom and has extensive experience in the global steel and iron ore industries having worked in key roles for several international iron ore and steel manufacturers.

Mr Marsden's specific skills include: Steel plant due diligence studies; Evaluation of steelwork developments globally; Assessment of Direct Reduction steelworks including coal based Direct Reduction; Environmental studies for EAF, DRI and Pelletising operations; Technical input for plans to turn around an African based steel works; Strategic analysis of current and future competitiveness of sectors for the steel industry considering raw materials, energy and transport; Project coordination; Cost control management; and Plant engineering for steel works.

Mr Marsden has also published numerous articles covering the exploration, development and optimisation of iron ore and steel projects.

The Chairman (Dr Ian Burston) commented that "We are delighted Paul has agreed to join us as an advisor and his deep knowledge and understanding of the iron ore and steel markets and the many elements that go into the successful development of a cast steel project such as ours will be a great benefit to Kogi Iron as we develop the Agbaja Cast Steel Project in Kogi State, Nigeria".

Source : Strategic Research Institute
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Iran arrests 4 at Ahwaz steel workers protests

Aawsat reported that Iran security forces made four arrests against southwestern residents in Ahwaz city in light of a labor strike that affected both a steel manufacturer and sugar refinery. AFP reported locals joining the demonstrations Sunday, without giving exact figures. Among the four arrested are two local workers' representatives and a female reporter, it added.

For the eighth day in a row, worker demonstrations continued, driven by aggravated frustration against a backdrop of delayed salaries and administrative corruption. The Haft Tappeh sugar factory in Shush, southwest Iran, and the Iran National Steel Industry Group are the two companies witnessing the strike.

Haft Tappeh, which employs about 4,000 people, has been hit with several protests over mismanagement and alleged criminality since the firm was privatized in 2016.

Source : Aawsat
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Huge boost in steel output at Liberty Whyalla amid transformation plans

Whyalla News reported that Whyalla’s GFG Alliance steelworks’ production has jumped by almost 90,000 tonnes yearly as the company embarks on a major transformation. The increase has been achieved by exporting steel slabs to Liberty Newport in Wales.

In a Transforming Whyalla update leaflet being distributed this week to residents, the company told of what is arguably the biggest and most exciting project to come to our city in half a century. It said “A project of this magnitude requires a tremendous amount of work - most of which goes on behind the scenes – to prepare the business for what will be a once-in-a-generation transformation. Our Transformation Team comprises local and international experts, who are positioning the business and city for success long into the future. There will be a ‘big reveal’ regarding our project in coming weeks – be sure to keep an eye out for more details on this momentous event.”

Source : Whyalla News
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Metalloinvest presents program to enhance customer centricity and SBQ quality at Metal Expo 2018

Metalloinvest has taken part in the 24th international industrial exhibition Metal-Expo’2018, which took place at VDNKh, Moscow, Russia, from 13 to 16 November. Metal-Expo is one of the most important platforms for dialogue with clients, customers and partners. Metalloinvest’s main focus within the exhibition programme was on presenting its digital transformation, how the Company is strengthening its customer focus, expanding production of premium products, and improving health and industrial safety. At the Company’s stand, each visitor was invited to play virtual reality games to learn about the principles and rules of safe working conditions which are implemented at all of the Company’s enterprises.

Metalloinvest received a prize for the “Best Exhibit”. This award was given by the organising committee as they recognised the functionality and practicality of the Company’s stand and also the high level of engagement and welcoming manner of staff working at the stand.

Metalloinvest also gave a presentation to its key clients as part of the exhibition on its programme to enhance customer centricity and SBQ quality. Nazim Efendiev, First Deputy CEO, Sales Director of Management Company Metalloinvest, Andrey Ugarov, First Deputy CEO, COO of Management Company Metalloinvest, and Andrey Prosyanik, Director of Domestic Sales at Management Company Metalloinvest, as well as representatives of commercial management and OEMK took part in the event.

Metalloinvest partners who took part in the event included representatives from Kamaz, AvtoVAZ, Chelpipe Group, TMK, IEPT, OMK, NPC Springs and other companies. All partners received souvenir certificates from the Company thanking them for successful partnership.

Mr Alexander Boiko, Deputy Technical Director of OEMK, led the presentation on enhancing customer centricity and SBQ quality. The main emphasis of the presentation was on events which aim to increase SBQ sales: the modernisation of OEMK’s production powers, the implementation of modern IT solutions, and the improvement of logistics and future development of the production portfolio.

The program would allow an increase in production opportunities for the production of SBQ in 2021 to 300,000 tonnes per year from the level of 2016. The Company’s partners were interested in details of the programme, and they also praised the high quality of Metalloinvest products.

Mr Nazim Efendiev, First Deputy CEO, Sales Director of Management Company Metalloinvest, commented that “Metalloinvest is a leading producer of SBQ in Russia and the CIS - this product has very strategic significance for us. In Russia there is a lack of special steels, and our program for the development of SBQ production aims to increase the volume of output and enhance the quality of the product. We also aim to constantly improve and perfect our technologies, expanding the range of products and improving the conditions of supply and service, in order to satisfy the growing needs of customers.”

OEMK produces more than one million tonnes of SBQ per year. The main customers of this product are enterprises in the car manufacturing industry, such as AvtoVAZ, Kamaz, Volkswagen, PSA, Renault and other car manufacturing giants. OEMK’s high quality rolled steel is used for the production of heavy-duty and heavy-load metals and aggregates of cars, such as engine shafts, gear boxes, gear wheels, steering parts, braces, stands and buffer springs.

Source : Strategic Research Institute
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Special CBI court dismisses businessman's plea for discharge in iron ore cheating case

ToI reported that in a blow to businessman Guruswaroop Srivastava (64), partner of Swarup Group of Industries, a special CBI court dismissed his plea to be discharged in a cheating case. Srivastava and others were accused of cheating the National Agricultural Cooperative Marketing Federation of India (NAFED) after procuring a loan of INR 240 crore for exporting iron ore to China. The CBI alleged that while around INR 89 crore was received by NAFED through export proceeds and other sources, about INR 150 crore was diverted for investment in personal properties and assets, including MF Hussain paintings.

The CBI court said prima facie evidence showed Srivastava cheated NAFED by submitting false letters for disbursement, forged stock statement, forged receipts, delivery challans and auditor report in a bid to dishonestly induce it to disburse the amount. Srivastava had filed a revision application before the CBI court in 2014 after a court rejected his discharge plea in 2013.

The case was registered by CBI in 2008. It was alleged Srivastava entered into a conspiracy with other accused for obtaining funds purportedly for export with an intention to cheat NAFED. He executed two MOUs with accused Homi Rajvansh, then additional managing director of NAFED. As per this, iron ore was to be purchased in NAFED’s name. The CBI stated the accused did not submit bills except one substantiating the purchase. But the loan amount was disbursed. It was alleged only a small part was utilized for export and the rest was misutilised for purchase of properties such as units at a mall, flats and office premises in the city, mutual funds and MF Hussain paintings.

Source : ToI
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UAE should not be hit with US tariffs - Mr Al Mansouri

Khaleej Times reported that the UAE expects to solve its aluminium and steel tariffs issue with the US next year and the country should not be hit with tariffs. Sultan bin Saeed Al Mansouri, UAE's Minister of Economy, said tariffs on aluminium and steel should not be imposed because the balance of trade favours the US. He told "I hope next year we will resolve it. We will continue to explain our case.”

The UAE is among world's top 20 largest exporters of steel to the US, exporting around 0.29 million metric tonnes annually. Similarly, the UAE exported 569,405 metric tonnes of aluminium in the first 10 months of last year, becoming the third largest exporter after Canada and Russia.

Source : Khaleej Times
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Hebei Province issues second level smog alert from November 22

State-owned China Nation Radio (CNR) reported that China’s top steelmaking province Hebei issued second-level smog alerts to its 10 cities, effective from November 22 as the provincial environmental bureau expects a wave of air pollution from Nov 24 to 27. Heavy industry in the province will have to enforce emergency measures, including cutting output and reducing material transportation, during the alerts.

Cities were asked to increase the supervision of their emergency measures and will be allowed to lift the alert when air quality shows improvement.

Source : Strategic Research Institute
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Steel prices will remain firm - Mr TV Narendran of Tata Steel

Mr TV Narendran, CEO & MD of Tata Steel, told ET that first half of calendar year 2019 will be a strong period for the steel industry globally, said Mr TV Narendran, managing director of Tata Steel, apart from some concern on trade flows, the fundamentals are strong and growth in China, India, US and Europe is good.

Q - Has the slowdown in China’s economy impacted Tata Steel?

A - The concern about China maybe a bit overstated at times, but there is still a concern. From a macroeconomic point of view, China is growing quite well at 6.5%. What has slowed down a bit is the automobile growth in China. Growth in appliances has also slowed down but the growth in the real estate market is still quite strong. Hence, you are seeing the impact more on flat products which are dependent on automobiles and appliances than in long products which are dependent on construction. So; there has been a little bit of unwinding of positions in China and there is also lot of speculation going on about the cuts in China. There is a view that the cuts announced by the government are less than what people had anticipated. We have seen the flat product prices soften by about S30-40 in the Southeast Asian markets. As far as its impact on India is concerned, I am hearing of import parcels being booked into India. It is not because the domestic prices always are a bit on the higher side compared to the imported landed prices, because when you import you run the risk of having materials come in two, three months after you have booked, unlike in domestic where you get it immediately. So, that is playing out. As of now, the imports in December are forecast to be about 600,000 to 700,000 tons. There will be some sort of impact in the domestic markets, but I am positive that given the fundamentals of the Indian economy, the prices will stay up. It is our job to make sure we get the best prices that we can.

Q - Tell me a bit about pricing. Where is the power? Which sections attract more premiums?

A - The long product prices have been more stable than the flat products and long products depend a lot on the infrastructure activity. A lot of spending continues in the infrastructure space and we believe that a lot of it will happen as a prelude to the elections, when a lot of activity will happen there. In terms of flat products, India is different from the international markets because auto demand in India is still quite strong. For Tata Steel, our strongest franchise is a B2C business which is 20% of our revenues where we really sell through our distribution network and reach out to individual customers who buy Tata steel because they trust Tata Steel. They are not customers who are looking at the international price. They are consumers who want three to five tons of steel and they are happy to pay a premium for Tata steel because they trust Tata Steel. The other big franchise for us is the automotive franchise which is about 20% of our revenue, where quality is more important than anything else. It is not about what the cheapest steel available is but who amongst the quality producers can give me the best price. You are competing with three or four people in India and globally and an auto company typically looks for stability of supplies and quality. These are two of our strongest franchises and account for 40% of our revenues. Another 10-15% of our revenue comes from our downstream business which is value added products and services. That again is reasonably stable. That is why Tata Steel tends to have numbers which has more stability than some of our peers because we have fairly strong franchises in these areas and also the fact that we are able to sell most of our volumes in the domestic market indicates the equity that we enjoy with our customers.”

Source : ET
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Trump Trade War - WTO panels to review US 232 tariffs on steel, aluminum

The World Trade Organization's dispute settlement body on Wednesday agreed to establish panels to rule on whether the US Section 232 tariffs on steel and aluminum imports comply with WTO rules. The dispute settlement body approved the establishment of the panels at the second request of six WTO members: China, the EU, Canada, Mexico, Norway and Russia.

In their complaints to the WTO, the members have alleged the US levies of 25% on steel imports and 10% on aluminum are inconsistent with provisions of the WTO's General Agreement of Tariffs and Trade and with the WTO's agreement on safeguards.

The WTO's dispute settlement body on Wednesday also approved the establishment of three panels to rule on whether increased duties imposed by Canada, China and the EU on certain US imports in response to the Section 232 tariffs violate existing WTO rules.

Source : Strategic Research Institute
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January to June will be strong season for steel industry globally - Tata Steel

CNBC TV 18 reported that first half of calendar year 2019 will be a strong period for the steel industry globally, said Mr TV Narendran, managing director of Tata Steel, adding that "apart from some concern on trade flows, the fundamentals are strong and growth in China, India, US and Europe is good". He said that "Do not see any fundamental change in demand growth across the world.”

Talking about the expansion plans of Tata Steel, he said in long products the firm would look at inorganic growth opportunities. He said that “In Kalinganagr, we have opportunity to expand through brownfield and similarly, in Jamshedpur we can unlock some volumes through brownfield expansion.”

Mr Narendran said that as of now, the company is totally focused on Usha Martin and aims to complete the transaction in next few months.

Mr Narendran said that Bhushan Steel is a good asset, which was operating at 3.5-3.6 million tonnes a year and this year it would cross 4.2 million tonnes in production, adding that the firm aims to take the production to 5-5.5 million tonnes in next 24 months.

According to him, the company has been able to improve the EBITDA per tonne and cash flows of the Bhushan asset.

Source : CNBC TV 18
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