ArcelorMittal SA (ADR) (NYSE:MT) has announced that it plans to expand its international portfolio of automotive steels, through the introduction of new generation high strength advanced steels. The company noted that two of its products from the new generation are already available in Europe and are undergoing OEM qualification testing. In addition to this, MT also plans to expand its family of third generation steels, with the introduction of Fortiform 1050, in Europe, during the FY2017.
Brian Aranha, the executive VP of global automotive at MT, stated that the launch of these steels was in accordance with the company’s Action 2020 plan, which has been designed to achieve certain financial improvements, by 2020. He went on to stated that the plan focuses on optimization of costs and increasing the volume of steel shipments, along with an improved and high value products portfolio. Mr. Aranha also assured the shareholders that the new products would ensure that Arcelor is well positioned to meet customer requirements.
In addition to this, the company also filed its 3Q2016 financial results, on the same day. Arcelor recorded an operating profit of €371 million, from its European business. It should be noted here that the company had a net loss of €23 million, during the previous year. MT further revealed that its steel production in the region had dropped by 1.4%, during the period, as per its planned stoppages.
The CEO of the company, Aditya Mittal, claimed that the 3Q2016 highlighted the seasonal slowdown in production, as well as improvements in the pricing environment. He further commented that the effects of cost optimization initiatives were also visible in the report. ArcelorMittal concluded by pointing out that there is significant unfair trade in the European market and even though some positive trade case rulings were evident this year, but more needs to be done to prevent anti-competitive behavior in Europe.
ArcelorMittal SA (ADR) (NYSE:MT) closed at a share price of $6.38, at the end of the November 8 trading session, 6.45% lower than the day before. The stock had a trade volume of 59.02 million, during the session.
