Chinese steelmaker HBIS Group on 28 January agreed to buy 70% of Indian conglomerate Tata Steel's projects in Southeast Asian countries, which is considered a "smart move" by experts, according to Xinhua News Agency.

HBIS, the world's third-largest steelmaker by output, will take over Tata Steel's projects in Singapore, Thailand, Viet Nam and Malaysia, in order to maximise opportunities in the region on technology, channels and management.

"Through the talks, we found that HBIS and Tata Steel share the same view on the world steel industry's future, which is the foundation of our cooperation," said Yu Yong, President of HBIS Group.

HBIS will seize the opportunities offered by the growing steel demand in Southeast Asia, Yu added.

TV Narendran, Chief Executive Officer and Managing Director of Tata Steel, said he is confident that the steel projects in Southeast Asia will continue to grow in the future after the investment.

According to mysteel.com, the steel shortage in Southeast Asia is around 100 million metric tonnes annually, and the region depends on imports.

(Source: VNA)