German industrial conglomerate Thyssenkrupp and Indian steel producer Jindal Steel have paused negotiations over a potential deal involving Thyssenkrupp's steel operations, according to reports.

The suspension of talks represents another setback for Thyssenkrupp's ongoing efforts to restructure or exit its steel business after more than two centuries in the industry. The company has been seeking strategic alternatives for its steel operations as part of broader corporate restructuring efforts.

Thyssenkrupp's steel division has faced significant challenges in recent years, including market pressures and the need for substantial capital investment to remain competitive in the global steel market. The company has explored various options including partnerships, joint ventures, and potential sales of its steel assets.

The German industrial giant has previously engaged in similar discussions with other potential partners as it seeks to reduce its exposure to the cyclical steel business while focusing on other industrial segments. The pause in talks with Jindal does not necessarily indicate a permanent end to negotiations, as such discussions can resume when conditions become more favorable.

Neither Thyssenkrupp nor Jindal Steel immediately provided detailed comments about the reasons for suspending the negotiations or whether talks might resume in the future.