(1888PressRelease)
November 01, 2008 - London - In yet another indication of a slowing global economy, India’s Tata Steel announced plans to cut production of crude steel by up to a fifth or about a million tonnes in its Corus unit over the next three months. No change in Tata’s production levels outside of Europe is planned.
"The decision is aimed at aligning steel production with demand, which is now affected by the consequences of the global financial crisis," the company said in a statement.
Corus is Europe’s second largest steelmaker and has a production capacity of more than 20 million tonnes a year. Corus’ Chief Executive, Philippe Varin said, "We are taking appropriate steps to optimize our operations and protect our sound financial position over the next few months."
As demand weakens, steelmakers across are cutting output. The world’s largest steel maker - ArcelorMittal announced plans to cut production by 15% last month because of low market demand in West Europe and America.
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