Japanese steelmaker Kobe Steel, Ltd. (Kobe Steel) announced that it has signed a nonbinding letter of intent with China-based steelmaker Anshan Iron and Steel Group Corporation (Ansteel) to begin a joint study to explore the possibility of establishing a joint venture in China to produce cold-rolled advanced high strength steel sheet used in automobiles.
Kobe Steel decided to consider building a production base in China to supply automotive cold-rolled steel sheet, since China's National Development and Reform Commission estimates that car production will rise to 30 million units by 2015. If the joint venture with Ansteel is established, it will be Kobe Steel's first production base for steel sheet in China