Transforming the customer mix
Some two thirds of Group sales are made to distributors or processors of stainless steel. Demand for stainless steel from end-users is more stable as these do not normally engage in speculation regarding nickel prices. Outokumpu's aim is to increase the proportion of direct end-user and project sales from its current level of about one third to at least one half. Other objectives include stabilising sales volumes to key distributors.
Increasing sales to end-user and project customers requires an extensive distribution network. The Group has systematically expanded its service centre capabilities in recent years, mainly in Germany and China. In 2008, Outokumpu acquired the SoGePar Group, an independent stainless distributor in Italy.