Mittal sees no major steel tie-ups, except in China
The global steel industry is unlikely to see major new tie-ups because there is already significant consolidation in the sector, apart from China, the world's top producer, the head of steel making giant ArcelorMittal said Tuesday.
"I think that outside China, the steel industry is well consolidated," Lakshmi Mittal said, answering a question at a shareholders meeting at ArcelorMittal headquarters in Luxembourg.
"I really don't see a major consolidation transaction in the steel industry," he said.
The Indian billionaire's company, Mittal Steel, merged with European rival Arcelor in 2006 to create the world's biggest steel group.
ArcelorMittal is three times bigger than its closest rival, Japan's Nippon Steel, although half of the world's steel production takes place in China, which is home to several smaller companies.
Mittal predicted that in four to five years, developing countries will control a majority of the world's steel production.
"In three years time, euro-dollar economies will come back to their pre-crisis levels, but I really don't see major growth," he said, adding that developped countries would remain leaders in terms of developing new technologies and products.
© 2010 AFP