Tata Steel Signs Deal With Vietnam Steel Corporation

October 31, 2007 12:51 p.m. EST

Mumbai, India (AHN) - Tata Steel on Wednesday announced it has signed a preliminary agreement with Vietnam Steel Corporation for the establishment of a cold rolling mill in Vietnam.

Tata Steel, the world's sixth largest maker of the alloy, made the announcement in a communique to the Bombay Stock Exchange. It said the details of the project would come after feasibility studies and that it would own 65 percent of the venture.

The two companies signed a Memorandum of Understanding.

Tata Steel said in its statement, "Vietnam with a buoyant economy, significant market and raw material is an attractive destination for steel making."

In the past, the company has entered into a joint venture with VSC through NatSteel, its Singapore-based subsidiary, for the establishment of a steel plant in Vietnam.