Siemens and Mitsubishi Heavy Industries Partner for Metals Industry

Siemens and Mitsubishi Heavy Industries (MHI) are forming a globally operating complete provider for plants, products and services for the iron, steel and aluminum industry. The hope is to cooperate in the field of the metallurgical industry.

One reason for the partnership is in response to the challenging market environment and high price pressure.  Both companies, strong individually will join their efforts to establish a powerful and globally well positioned joint venture.

While the technology strengths of Siemens Metals Technologies lie in particular in iron and steel production, casting, automation, environmental technologies and lifecycle services, MHI's technology competence is primarily focused on hot and cold rolling, processing as well as production expertise. By combining both portfolios, the joint venture can offer its customers the entire value chain in iron, steel and aluminum production, from technologies for processing raw materials to surface finishing at the end of the production process, as well as the related lifecycle service competencies.

According to the agreement, which coincidently has just been signed, MHI will hold a 51-percent and Siemens a 49-percent stake in the joint venture. Subject to approval of the relevant authorities, the joint venture will start operations in January 2015.

Both companies will contribute their metallurgical industry activities to the joint venture that will integrate Mitsubishi-Hitachi Metals Machinery, Inc. (MH) – an MHI consolidated group company with equity participation by Hitachi, Ltd. and IHI Corporation.

Siemens and MHI complement one another with their product portfolios, production know-how and geographical spread.

The partnership to date will include 9,000 employees who will focus fully on business with iron, steel and aluminum-producing industries.

The company's structure will be tailored to global market requirements and the international competitive environment. The hope is that the combination of competencies will result in a powerful joint venture that is better able to compensate for market fluctuations.

The company's headquarters will be located in the United Kingdom. The joint venture includes supply agreements for Siemens' Industry Automation and Drive Technologies Divisions.

Regionally, the steel market has strongly shifted to Asia. Over 50 percent of the world's steel production now takes place in China, with growing competition also through local technology providers. Drawing on the centers of competence of Siemens Metals Technologies in Central Europe and those of MHI in Asia, the partnership will have a very solid regional set-up.

More News:

  • HART-Fieldbus Foundation Marriage Complete

    The final step in constructing a single organization to lead process automation communications and integration technologies was completed at the end of August when the members of both the HART Communication Foundation and Fieldbus Foundation approved the merger proposed by their respective boards.

  • Use of BYOD Spreads, But Holdouts Remain

    Manufacturing workers are jumping on the bring-your-own-device (BYOD) bandwagon,

  • ISA100 Wireless Standard Gains Final IEC Approval

    ANSI/ISA-100.11a-2011, "Wireless Systems for Industrial Automation: Process Control and Related Applications," has been unanimously approved by the IEC as an international standard

  • Mergers, Acquisitions & Alliances: Danfoss Makes Offer, Hardinge Acquires Assets, and Fanuc and Rockwell Collaborate

    Danfoss made a public tender offer for all shares of the Finnish ac drives company Vacon. Hardinge, international provider of advanced metal-cutting solutions, agreed to acquire the assets of the Voumard internal diameter (ID) grinding business from Peter Wolters GmbH in Rendsburg, Germany. Maverick Technologies, acquired CQS Innovation, a system integrator specializing in control and information systems for life sciences, chemical and metals industries.

  • Belden Advocates Ethernet, Security and Wireless

    The Internet of Things (IoT) and the industrial IoT will use increasingly intelligent network infrastructures, but this will create more risk and increase the need to protect those critical infrastructures and their data. That's why we're investing both organically and through acquisition in Ethernet, security and wireless—so we can help transform this interconnected world.

  • The Future Is Forged at IMTS 2014

    Front and center was large-scale additive manufacturing in the form of the world's first 3D-printed car, which was printed and assembled on-site at the show. The project was a cooperative effort by Local Motors, Cincinnati Inc.; Oak Ridge National Laboratory; the University of Tennessee; and IMTS' Association for Manufacturing Technology (AMT).

  • Big Manufacturing Trade-Shows Dominate November Calendar

    There Will be More than 100 Exhibits Featuring Products and Services from Rockwell Automation and its Network of more than 100 Partners.

  • Honeywell OneWireless Takes the Prize for Best Wireless Solution

    The OneWireless Network is designed to enhance efficiency, safety and reliability in business processes. The OneWireless Network offers flexibility and scalability, wire-like performance with wireless security and best-in-class data availability with a low cost of ownership.

  • The Center for Compact and Efficient Fluid Power Hosts International Conference on Workforce Skills Transforming the Fluid Power Industry

    A panel session, featuring Vanderbilt University's Chancellor Nicholas Zeppos and Dean of Engineering Philippe Fauchet, will focus on the future of public-private partnerships in innovation, high-technology workforce skills, and ways to accelerate the transition of research to the marketplace.

  • Eleven Teams To Compete for a $2-Million Prize in Next Year's DARPA Robotics Challenge

    The DARPA Robotics Challenge finals are in less than one year. Scientists from at least 11 teams will compete for a $2 million prize, though DARPA says it expects more teams to participate.

All news »

What are your comments?

Join the discussion today. Login Here.

Comments

No one has commented on this page yet.

RSS feed for comments on this page | RSS feed for all comments