Nippon Steel has announced its intention to fully acquire Sanyo Special Steel for approximately JPY 70.5 billion ($455.06 million). The Japanese steelmaker plans to submit a tender offer aimed at making Sanyo a wholly owned subsidiary. This move comes in response to anticipated declines in domestic specialty steel demand in Japan, attributed to China's excess production capacity and high export levels.

Nippon Steel aims to strengthen its competitiveness by integrating Sanyo into its operations, enabling the company to better respond to market changes and capture global demand, particularly in growing markets like North America and India. The acquisition is seen as a strategic effort to enhance Nippon Steel's position in the specialty steel sector amid challenging market conditions.