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TI floats Chinese Subsidiary

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CHENNAI, India – The city based Tube Investments of India Limited (TI) has incorporated its wholly owned Chinese subsidiary. Now, to be known as the Tubular Precision Products Suzhou Limited, the company will set up a 12,000-tonne per annum cold drawn welded (CDW) tube facility at the Suzhou Industrial Park 80km west of Shanghai in China.

TI floats Chinese Subsidiary

CHENNAI, India – The city based Tube Investments of India Limited (TI) has incorporated its wholly owned Chinese subsidiary. Now, to be known as the Tubular Precision Products Suzhou Limited, the company will set up a 12,000-tonne per annum cold drawn welded (CDW) tube facility at the Suzhou Industrial Park 80km west of Shanghai in China.
 
Meanwhile TI, part of the Murugappa group, has shelved its Orissa steel project. According to the company, considering the present steel scenario, it has decided not to proceed with the steel project now and to withdraw from the MoU it signed with the Government of Orissa. It may be recalled the company had said earlier that there was lack of clarity on mining rights.
 
The company’s engineering business (precision tubes and strips) came down marginally due to lower volumes in exports, and some unforeseen disruptions in the raw material supply chain. The company is currently in the process of reorganising its tubes marketing network in the NAFTA region, the benefits of which can be expected to flow only from the third quarter onwards.
 
Similarly, sales of the bicycle division have come down marginally. According to the company, the bicycle industry suffers from various infirmities including depressed growth, slender margins and age old trade practices among others. During the period under review institutional sales was absent though secondary sales had improved.

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