Loan for Steel Distribution and Processing Center Business in India operated by Marubeni-Itochu Steel Inc.
Supporting Overseas Business Expansion of Japanese Company with Local Currency Loan

• Region: Asia
• Manufacturing and Services
• Overseas Investment Loans

1. The Japan Bank for International Cooperation (JBIC; Governor: HAYASHI Nobumitsu) signed on July 26 a loan agreement with JSW MI STEEL SERVICE CENTER PRIVATE LIMITED (JSW MI) ^*1, an Indian company invested in by Marubeni-Itochu Steel Inc. (MISI), amounting to up to approximately INR349 million (JBIC portion). The loan is co-financed with Sumitomo Mitsui Banking Corporation, bringing the total co-financing amount to approximately INR599 million.
     
2. The loan is intended to finance the funds necessary for JSW MI to operate a steel distribution and processing center in the state of Haryana, northern India.
     
3. In India, where sales of automobiles and electric appliances have been expanding due to economic growth, the need for steel is rising. As JSW MI’s main clients, namely Japanese automotive manufacturers, and others, are accelerating their business expansion in India, JSW MI aims to strengthen the capacity of processing high-quality iron and steel products and expand the distribution and processing network. The loan will support JSW MI’s overseas business expansion, thereby contributing toward maintaining and improving the international competitiveness of Japanese industry.
     
4. As Japan’s policy-based financial institution, JBIC will continue to support the overseas business expansion of Japanese companies into growing markets, such as India, by extending local currency loans.
     

Note

1. *1 
   JSW MI is a joint venture invested in by MISI and Indian major private steel company JSW Steel Limited.