Steel Companies Ink Cross-Licensing Partnership

Tata Steel Group’s European operations has signed a cross-licensing agreement with South Korea-based Posco that will give the rival companies access to some of each other’s technologies for automotive and construction applications.

Under the deal, Tata Steel Europe can use Posco’s physical vapor deposition processing system. The technology, which allows anti-corrosion coatings to be applied without having to heat them during the hot-dip galvanizing process, already is in use in the electronics industry but needs further development for automotive applications, according to Tata.

In exchange, Posco will be able to produce Tata Steel’s patented hot-dip zinc coating alloyed with magnesium and aluminum. Dubbed MagiZinc Auto, the blend purportedly outperforms conventional galvanized steel.