Thursday, October 25, 2012

News: Tata Steel Europe respond to market with new structure

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Tata Steel Europe has outlined a new strategy to target demanding industries, like automotive, aerospace, mechanical engineering and construction as they experience low demand across the eurozone and higher raw material costs.

The Indian-owned steelmaker changed the name from Corus in 2010 and has since organised its sales and marketing activities to focus on their customer's needs for increased product performance and value.

By combining its advanced steel products with a customer-oriented business model and by developing new products in partnership with its customers, the company aims to raise the share of "differentiated" products sales within its portfolio by over 50 percent between now and 2016.

Tata Steel Europe employs around 2,000 steelworkers in South Yorkshire and their Aldwarke site is the focus for steel making, casting and rolling of specialist steels. This is produced via the Electric Arc Furnance (EAF) steelmaking route using high quality recycled metal. Narrow strip is produced at Brinsworth.

A recent £6.5m investment in aerospace steel production has boosted output of these steels by 30% and safeguarded the South Yorkshire jobs. It followed a £3.5m investment in its Rotherham operations to improve plant reliability and energy efficiency, reduce CO2 emissions and boost production of high-value steel products.

Tata Steel's market sector teams also offer individual customers a single dedicated account team to ensure they have optimum access to the company's extensive product range and technical, logistical and R&D resources.

The main R&D site in the UK is the Swinden Technology Centre in Rotherham where researchers are developing new manufacturing techniques and products.

Henrik Adam, chief commercial officer, Tata Steel in Europe, said: "Europe is currently facing economic uncertainty. Markets like automotive, mechanical engineering and construction are heavily affected by the stagnating economy. To remain competitive, these industries are seeking to deliver superior customer value whilst reducing costs at the same time. Customers expect support in their innovation efforts, improved product performance and value in use.

"Tata Steel's wide product range, integrated steelmaking facilities and extensive distribution and processing networks, in combination with a customer-focused approach, create opportunities for growth across all our market sectors. By focusing in particular on the most demanding industries, we are aiming to increase the sales of differentiated products within our portfolio by over 50 percent by 2016."

Tata Steel website

Images: Tata Steel

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