Technology cooperation between Salzgitter and POSCO

Cooperation in the development of quality standards and new steel grades for the automotive industry.

Salzgitter Flachstahl GmbH and POSCO, South Korea, the world's second largest steel maker announced the signing of a general technology cooperation agreement.

The cooperation partners will be joining forces in the development and further processing of steel for the automotive industry. The first steps have already been defined and will be revolving around the further development and production of multiphase steel with excellent bake-hardening properties. These steel grades gain their final strength properties on processing in the client's paint shop. The Technische Universität Clausthal-Zellerfeld is also involved in this project.

Against the backdrop of the advancing globalization of steel markets, the joint objective is the improvement and creation of higher quality standards. The internationally operating automotive industry in particular is making strong demands on the availability of consistent and comparable quality grades over and beyond national boarders.

Salzgitter and POSCO are also confident that the cooperation will be instrumental in optimizing technology processes, shortening the development cycles of new material grades and techniques, as well as the promoting an exchange of know-how relating to the process safety of large-scale industrial facilities. Moreover, all these activities are also geared to helping both companies in achieving positive cost effects. The licensed production of sheet is also a conceivable option.

Salzgitter Flachstahl GmbH is convinced that the cooperation with POSCO will translate as a sustained strengthening of research and development activities and further enhance the company's high level of technological production and product quality.

Apart from regular meetings of a steering committee consisting of equal numbers of research and development managers, an exchange program of experts has also been planned. The committee will define the areas and scope of cooperation and compile an annual report. This exchange of experts is also intended to promote the practical implementation of the new findings obtained.

Initial talks on cooperation were already held in the year 2001. The current agreement has a four year duration and a renewal option for another four years.