Baoshan Iron & Steel Co., Ltd. : Baosteel Co.,Ltd. Acquires Baosteel Metal Auto Spare Parts Sector

On January 5, Baosteel Co.,Ltd. announces that its wholly owned subsidiary Baosteel International recently acquires Baosteel Metal auto spare parts sector through Shanghai United Assets and Equity Exchange. This is the technical preparation measure which Baosteel Co.,Ltd. adopts in order to provide further upgrading service for auto plate customers.

To further enhance the auto plate customer service quality and level and continue to improve sales and processing and distribution service network, based on the existing auto plate sales service, Baosteel Co.,Ltd. will build processing and distribution service system covering all Baosteel auto plate strategic customers and direct-supply customers. Baosteel International's involvement in auto spare parts aims at further research and exploration in auto plates follow-up molding process and spare parts production process, extending auto plates service chain, strengthening the integration with car manufacturers and improving service system competitiveness. Baosteel International acquires Baosteel Metal auto spare parts sector, including 4 units: Shanghai Wheels, Yantai Wheels, hot stamping and hydroforming.

After the acquisition of auto spare parts sector, Baosteel International can provide centralized one-stop service on coils, shearing, blanking and stamping for customers, build full range, whole process service platform from automotive design to steel recommendation and R & D, steel sales, shearing, laser cutting and welding facilities, supporting parts, and after-sale technical service including steel and spare parts and improve customer service quality and efficiency. Through the auto parts business and auto plate sales and processing and distribution system integration, Baosteel can better understand and grasp customer needs, expand business development and improve customer response time. The operation of auto plate sales, shearing and spare parts manufacturing in one platform relies on Baosteel Research Institute, links customer research and development departments, reduces coordination interface and improves development efficiency. Baosteel International masters auto parts deep-processing technology, which promotes Baosteel auto plate products' technical marketing, enhance the existing auto plate processing and distribution network technical content, enhance supply chain value-added service capability and achieve Baosteel auto plate customer service mode technical upgrading.