This morning in metals news, big firms Thyssenkrupp and Tata Steel are delaying the signing of a previously agreed to joint venture for their European operations, Chinese steel is retracing and LME zinc has hit a four-month low.
Thyssenkrupp, Tata Delay Inking Deal
A joint-venture deal between Thyssenkrupp and Tata Steel is being delayed due to ongoing talks between the latter firm and workers in Britain and the Netherlands, Reuters reported.
The German and Indian firms agreed in principle last fall to a deal that would combine their European steel operations.
Chinese Steel Loses Ground
Profits were up significantly for many Chinese steelmakers in 2017, but that momentum could be running out of steam soon, the Nikkei Asian Review reported.
According to the report, falling prices and the U.S.’s metals tariffs could eat into Chinese steelmakers’ earnings. According to the Review’s report, shares of five big Chinese steelmakers (including China’s largest, Baoshan Iron and Steel) have dipped between 12% and 17% since the end of February.
Zinc Falls to Four-Month Low
Zinc has hit a four-month low, partly on the basis of slow Chinese demand pick-up, Reuters reported.
LME zinc dropped 2.7% Thursday, its lowest since Dec. 12.