Arcelor Mittal to set up a new China venture

The world's biggest steelmaker, Arcelor Mittal, has agreed to set up an electrical steeljoint venture with Hunan Valin Iron and Steel Group, a listed unit of the Chinese company said Thursday.

Under the deal signed on August 11, the joint venture will have a total investment of 6.5 billion yuan (US$950 million), Valin Steel Tube and Wire Co. said in a statement with the Shenzhen Stock Exchange.

Arcelor Mittal and Hunan Valin Group will each hold a 50-percent stake in the joint venture with registered capital of 2.6 billion yuan, the statement said.