London - Steel giant Corus, Europe's second-largest steel company owned by India's Tata Steel, Friday announced plans to cut production by 30 per cent over the next six months.
The company, formerly British Steel, cited the global economic downturn for its decision to close two blast furnaces at its plants in Britain, and one in the Netherlands, until next March.
On Thursday, Corus said 400 jobs would be cut in its distribution business, which employs 2,400 people in Britain and Ireland.
The biggest steel maker in the world, ArcelorMittal has decided to reduce production of steel following slow demand due to global economic crisis. Its margin has been impacted due to slow demand by reality and automobile sector. Analysts of Citigroup Inc., Johan Rode and Peter Marcus has forecasted the decline in demand in the coming year. Many Russian, South Korean and Japanese steel giants have already decided to reduce production after noting decline in demand.
Tata-owned steel giant Corus has decided to axe 400 jobs at its distribution unit due to global economic downturn.
The South Korean steel giant, Posco is committed to complete Posco's Orissa project, despite global financial crisis. The director of Posco-India project, Mr Sung said that the global slowdown would not affect the project and company would go for Rs 51,000 crore projects in Orissa. He also reviewed the work of the project during a meeting called by the chief secretary Mr Ajit Tripathy.
After the decision of Indian steel giant Steel Authority of India Limited to cut steel prices, other steel companies have started to slash prices. JSW Steel took the initiative and reduced the prices of HR coils by Rs 5,500 a tonne. The company had already reduced steel prices in October.
