Nippon Steel Corp. said Thursday it has dropped lawsuits filed in 2021 against Toyota Motor Corp. and Mitsui & Co. over the alleged violation of patents related to electrical steel sheets, ending a rare legal battle between major Japanese companies.
Nippon Steel also dropped its lawsuits against Mitsui's subsidiary Mitsui & Co. Steel, but did not disclose the reasons for its decision, only saying it will strengthen cooperation with business partners in the automotive and other industries.
A Nippon Steel official said, "Continuing the legal battle is detrimental to the strengthening of Japan's industrial competitiveness at a time international rivalry is intensifying for carbon neutrality."
The steelmaker filed lawsuits against the three Japanese companies and Chinese steelmaker Baoshan Iron & Steel Co. between October and December 2021. Nippon Steel did not drop the lawsuit against the Chinese firm.
"As for Baoshan Iron & Steel, we will continue to seek protection of our intellectual property rights in court," Nippon Steel said in a statement.
The lawsuits were unusual among Japanese industry leaders engaged in mutual business transactions.
Electrical steel is an iron alloy offering high magnetic permeability used in such equipment as electric motors.
