Marubeni-Itochu Steel to Builds Processing JV in Germany and UAE

Marubeni-Itochu Steel agreed with European major steel processor, CLN Magnetto Group of Italy to build flat steel processing joint venture in Sachsen, Germany, which is the first center for Marubeni-Itochu. They build the plant for around 1 billion yen to process high grade colored flat steel starting operation in January 2008. Marubeni-Itochu controls 90% of the center named MI-CLN Steel Service Center with 4.5 million euro of capital with 10% share by CLN. The center will have annual 40,000 tonnes of processing capacity with a leveler and 2 shearing machines. Marubeni-Itochu also builds concrete reinforcing steel bar processing plant in Abu Dhabi, United Arab Emirates for around 700 million yen. The first operation in Middle East for the firm will start operation in April 2007 as joint venture with local firm and construction materials maker in Singapore. Marubeni-Itochu has 16.34% share in the plant named Readyfix with 300,000 UAE dirham of capital. The plant has 150,000 tonnes of annual processing capacity targeting US$ 130 million of annual sales in 2010.