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Venezuela nationalizes private steel plant

By the CNN Wire Staff

Venezuelan President Hugo Chavez said Sunday his government will take over the Sidetur steel manufacturing plant.
Venezuelan President Hugo Chavez said Sunday his government will take over the Sidetur steel manufacturing plant.
STORY HIGHLIGHTS
  • The takeover of the Sidetur plant is the second nationalization announced in less than a week
  • President Hugo Chavez announced last week the government will nationalize two glass-manufacturing plants
  • Chavez has a history of nationalizing private industries and land holdings

(CNN) -- For the second time in less than week, Venezuela has announced the nationalization of a manufacturing plant, this time a privately owned steel mill.

Venezuelan President Hugo Chavez said Sunday his government will take over the Sidetur steel manufacturing plant.

Chavez announced October 25 that the government was nationalizing two U.S.-owned Owens-Illinois glass-manufacturing plants.

Jose Paredes, the vice minister for basic industries and mining, said the government needs to take over the Sidetur plant because it was not providing enough steel to meet the nation's construction demands.

"This business needs to meet the needs of the country," Paredes was quoted as saying by the state-run Agencia Venezolana de Noticias.

Sidetur is owned by Vivencia, which had two mineral plants appropriated by the government in 2008. Chavez also nationalized the nation's largest steel plant, Sidor, in 2008.

The leftist president has had a history of nationalizing industries and land holdings during his 11-year tenure. Last year, he nationalized a local unit of U.S. food giant Cargill. He previously has appropriated privately owned oil, telecommunications, power and cement companies.

 
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