Toyota Tsusho to Start Steel Processing with Mittal Steel in South Africa

Toyota Tsusho Corporation will build steel service center in South Africa in summer of 2007 as the joint venture with Mittal Steel group. The firm will process flat steel provided mainly by Mittal Steel and supply the steel for Toyota Motor’s plant in the country, Toyota South Africa Motors (TSAM) though Toyota Tsusho still considers the detail including the processing volume. The center is the first JV between Toyota group and Mittal Steel. Toyota Tsusho, which has 7 steel processing plants in the world, tries to develop South African steel market with the investment along with Brazil, Russia, India and China. The new center will process local and imported steel with the facilities including cutting and blanking machines. Toyota Tsusho establishes JV with Mittal Steel’s integrated steel maker in South Africa, which provides the steel to process. TSAM started the operation in 1962 and produced around 110,000 units of automobile in 2004. The transplant started the production of the world strategic model, Innovative International Multi-purpose Vehicle or IMV and expands the output capacity to 120,000 units per month in 2007. The transplant also exports pickup truck and sport utility vehicle for Europe and Africa. Toyota Tsusho decided to build the center to meet higher needs for steel supply under the expansion. Toyota Tsusho, which has steel service centers in China, Thailand, USA and Australia, will expand the steel processing business in newly developing market including Brazil, Russia, India, China and South Africa.