OREANDA-NEWS. Nippon Steel & Sumitomo Metal Corporation Group ("NSSMC") has developed the 2017 Mid-Term Management Plan, for fiscal 2015-2017. This plan responds to the present and anticipated business environment and to the challenges that the Group is facing. It also reflects its determination to further raise competitiveness by improving its "technology," "cost," and "being global," to become the "best steelmaker with world-leading capabilities". By carrying out this plan, NSSMC is determined to prevail and prosper, and achieve sustainable profit growth. The main contents of this plan are outlined below.

The steel business environment in which the plan will be executed is characterized by projected expansion of global steel demand at a moderate rate, particularly in emerging countries where economic growth is creating increased demand for high-grade steel, and for energy saving and environmental responsiveness in various countries. In China, a significant gap in supply and demand is likely to remain for a considerable period. In Japan, while demand related to the 2020 Tokyo Olympic Games is projected to be temporary, steel demand is expected to be firm, supported by increasing domestic production by manufacturing sectors and replacement demand for urban infrastructure, which is intended to make the country less susceptible to disasters and more competitive in global markets as site location.

Anticipated changes in the environment, including fluctuation of oil and raw material prices, and of exchange rates, as well as geopolitical risks, are among the factors considered in developing and adjusting the plan.