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Sumitomo Metals to Establish Sales Subsidiary in Brazil
10/08/2010 - Sumitomo Metal Industries, Ltd. recently decided to establish a sales subsidiary for seamless pipe that will be manufactured in an integrated steel works in Brazil, with North and South Americas as sales territories. Plans call for the subsidiary to be established in November 2010.
Sumitomo Metal Industries, Ltd. recently decided to establish a sales subsidiary for seamless pipe that will be manufactured in an integrated steel works in Brazil, with North and South Americas as sales territories.
Vallourec & Sumitomo Tubos do Brasil Ltda (VSB), a joint venture with Vallourec Group, plans to supply 300,000 tonnes of seamless pipe a year to Sumitomo Metals. The new subsidiary will have staff in charge of quality assurance and delivery control as it sells products manufactured by VSB under Sumitomo Metals’ brand. The subsidiary will also be engaged in investment control and management of VSB. It will hold VSB shares as investment in kind.
The subsidiary’s corporate name is yet to be determined, but it will be located in Rio de Janeiro, Brazil, and employ about 15 people. The subsidiary is expected to be established in November 2010.
Sumitomo Metals says that this initiative will not have material impact on its consolidated and unconsolidated results for the fiscal year ending March 2011.
