Tuesday 18 November 2008
OneSteel to cut production
ONESTEEL says it will be cutting production in response to weakening demand caused by the global financial crisis.
Australia’s second largest steel maker will, like other steel companies, cut production in the face of the softening construction and manufacturing sectors. Its approach
differs from that of BlueScope Steel.
The company says it expects a challenging second half for the 2008-2009 financial year, with Australian domestic conditions set to be impacted by the lack of credit availability and reduced confidence levels.
However, the steel maker says it will be somewhat buffered by the cost synergies it expects from integrating the Smorgon Steel business.
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