On Nov.27, 2002, Shanghai Baosteel Group Corp. announced that it will establish joint venture with Japan Mitsui Company.

Baosteel Group said that it would make a notification for the question whether they will found a steel manufacturing joint venture or not next week, while, now, the project hasn't been put into real. However, the details about this project would be kept as secret before it is fully realized.

According to Japanese media report, Japan Mitsui Company is going to establish a joint venture with Baosteel Group, and this joint venture is aimed at found a nationwide steel sales web.

Moreover, the new joint venture's initial capitalization is about $12 million, in which Mitsui will contribute 35% of the initial capital, while Baosteel will contribute 65%.

And, it will set up one processing & sales center in Shanghai, China.

Due to many Japanese auto and electrical appliances manufacturers will come to China gradually in later time, more and more interests are moved to China steel industry, many Japanese steel enterprises' presidents and CEOs have reached this agreement.

Early last month, the largest Japanese steel manufacturer, Nippon Steel Corp., J.NSL, stated that they are negotiating with the subsidiary of Baosteel Group, Baoshan Iron & Steel Co., Ltd., about the establishment of a new joint venture.
(Adopted From Baosteel Group)