OREANDA-NEWS. On 22 July 2008 Centravis, an international holding and one of the largest world producers of seamless stainless steel tubes and pipes announced its strategic partnership with Handy & Harman Tube Company (Camden, USA), the world producer of hi-tech products from stainless tubes.

Subject to the terms and conditions of this cooperation, CENTRAVIS will become a principal supplier of mother tubes for Handy & Harman Tube Company, including the production of special mother tubes meeting additional customer requirements. This agreement was reached at the meeting of companies, which was held in May 2008.

In 2008, CENTRAVIS is going to supply over 300 tonnes of mother tubes to Handy & Harman Tube Company, with this figure expected to triple next year. This will be possible by launching a new tube pressing line and an extrusion press (4,400 tonnes) at the industrial site of CENTRAVIS. CENTRAVIS is planning to complete installation of new equipment in the first quarter of 2009. Mother tubes produced by CENTRAVIS will be an intermediate product for the production of a wide range of hi-tech products (coiled tubes, unique thin-walled seamless stainless pipes for medical equipment, tool-making and other applications).

Besides, strategic partnership of the two companies includes as follows:

Expansion of the product range of both companies (new steel grades and sizes)

Cooperation in innovative product development

Joint distribution of tubes produced by CENTRAVIS and Handy & Harman Tube Company

Knowledge and experience sharing related to production process and technology

Joint company entry into the market of North America is among the most important aspects of cooperation. By the end of 2008, companies will hold a number of business meetings with the largest metal product distributors in the North American countries. International holding CENTRAVIS will, in turn, ensure product sales support to Handy & Harman Tube Company on the CIS markets where CENTRAVIS has a strong market position.

The representatives of companies commented on the prospects of the alliance:

Ilya Shirokobrod, Director of Strategy and Business Development, CENTRAVIS:

“Handy & Harman Tube Company has been our client since 2007. Following our principles, we strive to build the most favorable and far-reaching relations with our clients. Our relations with Handy & Harman Tube Company and our further cooperation plan serve as a good example of these efforts. Cooperation with Handy & Harman Tube Company is one of the best examples of our brand belief implementation “combining the best of all worlds”. This alliance will enable us to develop our business, share experience and cutting-edge knowledge.

North America is a strategic region for our business development. It is in this region that we are gradually intensifying our activities. For the time being, North American countries account for 3% of our company sales and this figure is expected to triple by 2010. I am sure that development of business in North America with a prominent partner such as Handy & Harman Tube Company will be twice as efficient.

John Coates, President and CEO of Handy & Harman Tube Company:

“Handy & Harman is very excited about the opportunity to become a partner with Centravis. The combined knowledge, technologies, trade networks and hi-tech tubular seamless products will enhance the collective abilities to provide outstanding solutions to customers worldwide.”