Industrial Study On

Steel Industry & Arcelor Mittal

Present By :Koladiya Jagdish

MBA (21)
DIV (A)
AN OVERVIEW OF STEEL
SECTOR
 Global Scenario. In 2007 the World Crude Steel
output reached 1343.5 million metric tons and showed a
growth of 7.5% over the previous year. It is the fifth
consecutive year that world crude steel production grew
by more than 7%.
 Domestic Scenario It has been estimated by
certain major investment houses, such as Credit
Suisse that, India’s steel consumption will continue
to grow at nearly 16% rate annually, till 2012,
fuelled by demand for construction projects worth
US$ 1 trillion.
The New Industrial Policy
The New Industrial policy.
 FDI Investment.

Role of Steel Ministry.

Exports of Iron & Steel

 Iron & Steel are freely exportable.

 Duty Entitlement Pass Book Scheme

(DEPB)
Top steel companies India
Company Types of steel

Tata Steel Wire rods, bars, and steel flats

Essar Steel Sponge iron, steel and iron ore
pellets
Apollo Tubes steel tubes and pipes
Ahmedabad Steel Craft Windows, ventilators, steel doors
Jindal Iron & Steel Galvanized steel products

Vizag Steel Pig iron and steel

Steel Authority of India Steel and iron
Central Steel Corporation Alloy and tool steels
World steel production
Crude Steel Production
Country
(mtpa)
China 272.5
Japan 112.7
United State 98.9
Russia 65.6
South Korea 47.5
F.R .Germany 46.4
Ukraine 38.7
Brazil 32.9
India 32.6
Italy 28.4
 STEEL PRODUCT PRICE LEVELS
ACROSS 2007 – 2008
Hot Hot Cold
Steel Medium
World steel price Rolled Rolled rolled
Wire Steel
US million tone. Steel Steel steel
Rod Sections
Coil Plate coil
Oct 2007 611 826 680 584 844
Nov 2007 615 833 688 584 853
Dec 2007 630 837 705 598 859
Jan 2008 639 847 716 621 871
Feb 2008 699 887 772 687 905
Mar 2008 800 978 890 758 970
Apr 2008 915 1065 985 852 1042
May 2008 998 1160 1080 920 1105
Jun 2008 1073 1225 1144 1005 1184
Jul 2008 1099 1307 1186 1067 1234
Aug 2008 1093 1300 1179 1062 1227
Sep 2008 973 1243 1046 977 1154
Oct 2008 865 1150 940 811 1045
 HISTORY
 ArcelorMittal is the world's number one steel
company, with over 326,000 employees in more
than 60 countries.

 Ithas led the consolidation of the world steel

industry and today ranks as the only truly global
steelmaker.
 ArcelorMittal is the leader in all major global
markets, including automotive, construction,
household appliances and packaging.
 The Group leads in R&D and technology, holds
sizeable captive supplies of raw materials and
operates extensive distribution networks.
 The Merger Process
 Feb2006; Arcelor acquires a 38.41% stake in
Laiwu Steel Corporation, in China.

 June2006- Mittal Steel and Arcelor reach an

agreement to combine the two companies in a
merger of equals.
Cont..
 Arcelor Mittal signs a Memorandum
of Understanding for the Greenfield
project in Orissa, India.
 The aim is to set up steelmaking
operations in the Keonijhar District.
The integrated steel plant should
have a total annual capacity of 12
million tones.
 Board Of Director

Christophe Cornier
Group of Mgm
Lakshmi N. Mittal
Chairman & CEO
Aditya Mittal
CFO

Gonzalo Urquijo
Group of Mgm
Sudhir Maheshwari
Davinder Chugh Group Of Mgm
Group of Mgm Michel Wurth
 Types Of Steel
steel strip

steel coil 304

301 Stainless steel coils 304 Stainless steel strip

316L Stainless steel coils

Stainless steel coils

 stainless steel strip
Cold-rolled

stainless steel coil

stainless steel coil

201 stainless steel oil

201 stainless steel oil
 steel strap 316L

steel strip

steel coils 201

steel strip

Punching products
Cold-rolled steel strap
Employees development

Job Priority.
 Health & Safety.
Arcelor Mittal University
 8,000 people are being trained on Health & Safety
in Romania alone.
 4,000 new users are getting access to intensive
online English language teaching.
 10,000 people in 23 countries will take Leadership
and Management Skills programmes in 2008
 Over 400 managers will benefit from the talent
pipeline programme this year
 More than 2,000 employees will go through the
steel, mining and functional programmes in 2008
 Share Holder information

Member Number of %Total Voting right

share share issue
Mittal 623,285,00 43.02 45.69
family 0
Treasury 84,750,066 5.85 0.00
shares
Other public 740,791,281 51.13 54.31
shareholder

Total share 1,364,076,2 100 100

issue 81
 Investor Information
 ArcelorMittal is listed on the
stock exchanges of New
York.
 Amsterdam.
 Paris.
 Brussels.
 Luxembourg.
 Spanish stock exchanges of
Barcelona, Bilbao, Madrid
and Valencia.
 Financial Results

US Dollars
Results
Q3 2008 Q2 2008 Q3 2007 Q2 2007 Q1 2007
25.6 29.8 26.0 84.6 81.7
Shipments (Million )

Sales 35,198 37,840 25,524 102,847 77,223

EBITDA 8,580 8,046 4,881 21,670 14,553

Operating income 5,467 6,621 3,853 15,702 11,540

Net income 3,821 5,839 2,960 12,031 7,933

Basic earnings per $2.79 $4.20 $2.10 $8.66 $5.70

share
 Brazil Plant

Control Room

Cold Rolling Mill

Control Room

Beams
ABC Project Launch 2004

•In this project focused

on four vehicle sub-
assemblies which are
critical to impact up 63%
of body in white and
door elements for 20%
reduction.
•This project launch in
2004 in Euro car body
concept.
S-motion Project.
•Aim of this project to provide
steel solution that balance
between cost, performance
and Vehicle safety.

•This project follow by 2004

project ABC (Arcelor body
concept).

•It will also help the Product life

cycle management.

•Deadline of this project is

2010.
 Ku-Ta ek Lee
John Surma
Chairman & CEOChairman & CEO Paolo Rocca
POSCO United Steel Co. CEO
Techint Group

Dr Wolfgang Leese
CEO
Salzgitter
Sources
 www.mittalsteel.com

 www.minstrysteel.com

 www.indiaindustry.com

 www.steelonthenet.com

 www.economictimes.com

 www.arcelormittal.com

 www.worldsteelorg.com

Thank u