Jamshedpur Nov 7 (UNI) In order to align its production levels with demand in the European market, Europe's second largest steel producer Tata Steel UK Ltd or Corus has decided to extend its production cuts beyond December.
The company expected to produce about 30% less crude steel than planned during the two quarters to the end of March 2009.
According to a communique released by the Tata Steel here this evening consequently Corus will temporarily idle one blast furnace at each of its Scunthorpe, IJmuiden and Port Talbot works and will also adjust output levels on its downstream production units to suit market conditions in their respective regions and end-use sectors.
"The current slowdown requires us to adapt our operations to the changing environment with maximum speed," said Corus CEO Philippe Varin. " We are adopting proactive and responsible measures in the areas of production and costs to optimise our results. Meanwhile, our strategy for long-term growth remains unchanged.'' Corus last month announced plans to reduce its third-quarter production (Oct-Dec 2008) by 1 million tonne of crude steel, equivalent to 20% of its output.
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