Calvert deal meant to stabilize market: Mittal
Dec 03, 2013 | 03:49 PM
| Thorsten Schier
NEW YORK A supply agreement between ThyssenKrupp AGs slab facility in Brazil and its Calvert, Ala., facility was structured to minimize the impact on the operations supply and the North American slab market, ArcelorMittal executives said Dec. 2.
The facility will be taken over by ArcelorMittal SA and Nippon Steel & Sumitomo Metal Corp. (NSSMC) next year.
"What we were trying to do is not create a situation where (the) southern U.S., now Alabama, is buying slabs like crazy and then in June and July it is not buying slabs because the cost of slab is too high, because that would create a tremendous amount of disturbance to its customer base and the market forces. So what we wanted to do was create a stable supply, which we knew would always work in Alabama, and not get disrupted by the international markets," chief financial officer Aditya Mittal said during a conference call with analysts.....
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