Japan-based Sumitomo Corp. and The Japan Steel Works (JSW) have entered a joint venture agreement with Brazilian steel manufacturer Gerdau to produce and sell wind power generation forged products for the Latin American market, with a focus on Brazil.
Production of these forged parts is expected to begin in 2017, and the joint venture, tentatively named Gerdau Summit, expects to create 100 new jobs.
“We’re working to transform Gerdau into a more efficient and profitable company, given the current and future challenges of the global steel industry,” says Gerdau CEO Andre B. Gerdau Johannpeter. “We’re seeking to join forces with partners who have recognized experience in their industries in order to create new business opportunities. With Sumitomo Corp. and JSW, we will develop higher-value products for our clients, which will enable them to generate higher profit margins.”