Tata Steel Europe today announced the cross-licensing agreement with POSCO, which will allow the company to increase the range of advanced products to key markets including the automotive and construction sectors.

The deal will allow Tata Steel Europe to access Physical Vapour Deposition (PVD) technology, an innovative process allowing steels to be given anti-corrosion coatings without the current requirement to heat them during the hot-dip galvanising process. This has the potential to allow for an increase in the number of steel products on which specific anti-corrosion coatings can be used.

In exchange the agreement means POSCO will be able to produce Tata Steel Europe’s patented MagiZinc®.

MagiZinc® is an innovative hot-dip galvanised coating providing enhanced corrosion protection even in harsh environments. Its formulation allows it to outperform conventional galvanised steel, which is why the coating has been widely adopted by the EU automotive and construction industry since its market introduction in 2009.

The new PVD technology developed and patented by POSCO is already adopted in the electronics industry but needs further development for automotive and construction applications. The technology will help Tata Steel Europe meet the emerging need for sustainable steel products for next-generation cars and buildings and will allow the development and production of high-performing steels demanded by global customers.

Hans Fischer, Chief Executive Officer, Tata Steel Europe, said: “Tata Steel Europe and POSCO are both recognised as leaders in technological advancement and the two companies have a history of collaboration. By pooling our technical know-how, we will be able to develop and promote market innovation, strengthen our offering and give our customers in several key markets the innovative products they need to be successful.”

Collaboration with POSCO represents the next phase in Tata Steel Europe’s ambition to support customers by making the MagiZinc® product available globally.

Seoung Yu, POSCO Chief Technology Officer, said: 'This is a mutually beneficial agreement which will help both companies to provide customers with access to innovative, value-added products. We have experienced considerable benefits in using PVD technology, while MagiZinc® will help to bolster our offering by providing enhanced corrosion protection.

“We expect both PVD and MagiZinc® to gain wider presence in the global market through this partnership which will continue as an exemplary model of collaboration between the two leading global steelmakers.'

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For further information: Damien Brook on T. +44 (0)781 8588 545 or damien.brook@tatasteeleurope.com 

About Tata Steel’s European operations

Tata Steel is one of Europe's leading steel producers, with steelmaking in the UK and Netherlands, and manufacturing plants across Europe. The company supplies high-quality steel products to the most demanding markets, including construction and infrastructure, automotive, packaging and engineering. Tata Steel works with customers to develop new steel products that give them a competitive edge. The combined Tata Steel group is one of the top global steel companies, with an annual steel capacity of 27.5 million tonnes and almost 74,000 employees across five continents. The group’s revenue in the year ending March 2017 was $18.1 billion.