Japan's JFE Steel, the world's sixth-largest steelmaker, said on Thursday that it will team up with JSW Steel on automotive steel production in India.
JFE and JSW, India's third-biggest steelmaker, will also discuss mutual shareholding and will consider expanding their partnership to cover the production of other steel and material purchases in India and abroad, JFE said in a statement.
A spokeswoman for JFE, a unit of JFE Holdings, denied a report by the Nikkei business daily earlier on Thursday that JFE is set to buy a stake of about 10% in JSW for an estimated 30 billion yen to 50 billion yen.
JSW's project to build a steel plant in West Bengal is among the other areas of possible cooperation that will be considered in the future, the Japanese firm said.
Major Japanese carmakers, such as Toyota Motor Corp and Nissan Motor Co, are planning to launch full-fledged production in India, targeting growing demand there.
