Ovako and FNsteel, a subsidiary of British Steel, today announced a new supply agreement to continue the successful cooperation from 2017. Under the new contract, Ovako will supply 15,000 metric tons to FNsteel during 2018 as well. Moreover, the contract stipulates conditions for shipments above the current level.
Ovako and FNsteel will support customers in the bearing industry by providing a joint supply chain to improve efficiency and reliability of supply. The ambition is to significantly increase the joint bearing wire rod business.
“The quality of our steel, coupled with FNsteel’s wire rolling and drawing expertise, will ensure that our end customers receive the premium products they require,” said Ovako CEO Marcus Hedblom.
“We’re excited to join forces with Ovako, to increase our capacity and capability in the bearing steels market”, said Ron Deelen, CEO of FNsteel. “Not only will this enable us to continue providing the high-quality products FNsteel is renowned for, it will also allow us to enhance our range – a significant move into the specialty steels market.”
FNsteel and Ovako will also be working together on technical solutions to develop new products.