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Nippon Steel seeks injunction from Toyota in Japanese court in patent proceedings

Nippon Steel.. Is seeking an injunction against Toyota Motor Corporation in the Tokyo District Court to prevent automakers from manufacturing and selling electric and hybrid vehicles that use the types of steel that are essential to motor performance.

A Japanese steelmaker claims infringement of a patent on electrical steel sheets and is seeking damages of about 20 billion yen ($ 177 million). According to a statement on Thursday..

Electrical steel sheets are a type of high-grade steel with enhanced magnetic properties that help limit energy loss. It is widely used as the “iron core” for generators in power plants, electrical products, automobiles, and even vibration motors for mobile phones.

Tatsuo YoshidaBloomberg Intelligence analysts said it was extremely rare for a domestic steel supplier to sue an automaker. He said electrical steel sheets are an important part of motors that have a significant impact on performance and efficiency. “I have never heard of this.”

Nippon Steel said Thursday that it is taking similar steps against China. Baoshan Iron & Steel Co., Ltd., Seeking damages of about 20 billion yen.

“Nippon Steel has held discussions with Baosteel and Toyota on the belief that it infringes the patent for grain-oriented electrical steel sheets, which are indispensable for electrification of automobiles.”

“But Nippon Steel was unable to reach a solution to the problem. Nippon Steel has taken these legal steps to protect the intellectual property rights of the alleged product.”

A Toyota spokesperson said the carmaker had confirmed that the patent was not infringed in the previous contract, adding that “it is very disappointing that we are being sued.”

The representative of Baoshan Iron & Steel could not comment immediately. Nippon Steel seeks injunction from Toyota in Japanese court in patent proceedings

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