POSCO and Nissan Motor Co. will build a processing plant at Kawasaki in Japan to make automotive and stainless steel. The factory, to be completed next May, will have capacity of 120,000tns and will secure procurement of steel for Nissan Motors as its existing major suppliers Nippon Steel Corp. and JFE Holdings Inc. had problems keeping up with strong demand because of growing consumption of auto grade steel in China. The planned Japanese factory is part of a JV POS YPC established in September 2006 in which POSCO holds a 69% stake with the balance held by Nissan Trading Co, a wholly owned unit of Nissan Motors. This would be POSCO’s 3rd facility in Japan and would use hot rolled steel from POSCO’s South Korean plants.
