India’s Essar Steel has signed an umbrella agreement with Kobe Steel of Japan. Through the new agreement, Essar Steel will gain operational technology to manufacture high-quality steel products. It will cover technologies including: quality control and production for steel; technological improvements in the steel plant and their operation; pollution control and energy consumption control at steel works; and product improvement for automotive steel. This is the first agreement of its kind that Kobe Steel has signed with any India Steel Major. The agreement also includes supplying certain resources such as slabs and other raw materials to Kobe Steel.

In February, Kobe Steel agreed to provide Essar with technical guidance on the production and quality control of automotive sheet. Both companies saw the value of deepening the relationship, which led to the umbrella agreement’s formation.