Belegger.nl

voda 4 oktober 2019 16:39

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Recovery of American Steel Industry Requires Changes in China - Mr Thomas Gibson of AISI

The economic impact of the iron and steel industry in Alabama is responsible for more than 76,000 jobs here, paying a total of nearly USD 5 billion in wages and salaries annually while generating nearly USD 22 billion in industry output and USD 2 billion in federal, state, and local taxes. But these jobs are at risk if some dramatic changes aren’t made to the global unfair trade practices that have plagued the American steel industry. And it starts with needed change in China. China’s plan is part of a long-term strategy. China plans to commission five new steel mills next year, with a combined capacity of more than 100 million net tons. This one-year addition is greater than the total steel production in the United States in 2018. Although the Chinese government considers this to be a replacement for defunct capacity, the reality is that China’s overall steelmaking capacity is on the rise again in 2019. Last year, China produced record levels of steel, topping one billion net tons a seven percent increase from the already-record 2017 levels. It is on pace to break that record once again this year as Chinese steel production for the first seven months of 2019 surpassed the first seven months of 2018 by nine percent.

Despite repeated pledges to the contrary, the Chinese government has refused to meaningfully restructure or reduce its steelmaking capacity and, as a consequence, continues to be the biggest and most persistent obstacle to curbing the global steel overcapacity crisis. This new capacity comes not because the market demands it, but solely because China’s government mandates it at the expense of global competition, US national security and American steelmakers

Because China’s state-subsidized steel companies do not have to respond to market forces, they can continue to produce steel when private firms are forced to cut back due to changes in demand. But this excess steel must still go somewhere. It too often ends up here in the US -- transshipped through third countries, evading the duties meant to discipline China’s unfair trade practices.

Progress has been made in recent years to stem the flood of dumped imports into the US from steel-producing economies like China. Thanks largely to successful trade cases pursued by the American steel industry and the Trump administration’s implementation of the Section 232 tariffs, finished steel imports in 2018 were down 13 percent from the previous year, and are down another 17 percent year-to-date through the first six months of 2019. However, while Chinese direct shipments to the USUS are down, countries like Vietnam and South Korea continue to flood the US market with transshipped Chinese steel or with steel that has been displaced in their own countries due to the abundance of subsidized steel imports from China in those markets. Those two countries alone have exported nearly two million net tons of finished steel to the United States through the first six months of the year – totaling more than 16 percent of all finished steel imports in the US market.

In addition, China’s lax environmental requirements for its steel plants also are a threat to our competitiveness. Simply put, Chinese mills don’t have to adhere to the same standards as we do, which makes the playing field uneven. Two peer-reviewed reports that the American Iron and Steel Institute conducted demonstrate this. One report found that hot-dip galvanized steel coils produced in China, used in the construction and auto sectors, result in nearly 50 percent higher greenhouse gas emissions than those produced in North America. The second study documents that hot-rolled structural sections produced in China result in three times higher GHG emissions than sections produced in North America.

Source : Strategic Research Institute

voda 4 oktober 2019 16:41

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Moody's Completed Periodic Review of Worthington Industries

Moody's Investors Service has completed a periodic review of the ratings of Worthington Industries Inc and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodologies, recent developments, and a comparison of the financial and operating profile to similarly rated peers. The review did not involve a rating committee. Since 1 January 2019, Moody's practice has been to issue a press release following each periodic review to announce its completion.

Worthington's Baa3 senior unsecured rating reflects the company's moderate leverage, ample interest coverage, consistent free cash flow generation and the diversity of its business segments and end markets. The company's rating is constrained by its shareholder friendly initiatives, its acquisitive nature and inconsistent track record on deals, and the variability in its operating margins, which are closely tied to the volatility of raw material input costs, as well as the cyclicality of its major end markets.
The review was conducted through a portfolio review in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodologies, recent developments, and a comparison of the financial and operating profile to similarly rated peers. The review did not involve a rating committee. Since 1 January 2019, Moody's practice has been to issue a press release following each periodic review to announce its completion.

Worthington's Baa3 senior unsecured rating reflects the company's moderate leverage, ample interest coverage, consistent free cash flow generation and the diversity of its business segments and end markets. The company's rating is constrained by its shareholder friendly initiatives, its acquisitive nature and inconsistent track record on deals, and the variability in its operating margins, which are closely tied to the volatility of raw material input costs, as well as the cyclicality of its major end markets.

Source : Strategic Research Institute

voda 4 oktober 2019 16:57

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China Issues Scrap Import Quota for Metals for Q4 2019

The Chinese government issued a new scrap metal import quota on 23rd September that approved a total of about 70,000 tonnes of copper, aluminium and ferrous scrap arrivals for Q4 2019. As reported by Argus Media, China Solid Waste and Chemicals Management approved a combined 66,368 tonnes of copper, aluminium and ferrous scrap for delivery to ports in south and southeast China. The quota for aluminium scrap, with tariff code 7602000090 stood at 32,940 tonnes. The aluminium scrap quota is for delivery to the ports of Ningbo, Nanhai and Nansha.

The previous quotas were announced on 20 June, 10 July and 14 August. China issued the 11th batch of import quotas of 11,290 tonnes for newly restricted high-grade aluminium scrap on August 14 increasing the total volume of import quotas to 372,476 tonnes.

After the announcement of the latest batch, the total of all aluminium scrap import quotas approved to date (July-September 2019) now stands at 405,416 tonnes. The aluminium scrap import quota for the period is above the volume imported in third-quarter 2018. According to Customs data, China imported 349,510 tonnes of aluminium scrap in July-September 2018.

Under the new scrap policy, all scrap metal importers in China will need import licences issued under approved quarterly quotas from 1 July in order to import any material.

Source : Al Circle

voda 8 oktober 2019 17:53

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Global steel capacity to grow for first time since 2015

What does US Steel’s purchase of half of Big River mean for the larger market?
The OECD has reiterated the need for further global steelmaking capacity reductions after the unexpected growth in capacity in the first half of 2019 despite weak global demand conditions.

At a meeting last week the OECD Steel Committee stressed that “…government interventions, market distorting support measures and resulting excess capacity have contributed to significant distortions in steel trade flows, that are affecting steel-producing economies and contributing to trade tensions.” Moreover, “...certain border and behindthe-border measures… are distorting steel markets and steel trade, not least affecting raw material.”

Last month the OECD revised downwards its global economic growth forecasts to 2.9% in 2019 and 3% in 2020, the weakest annual growth since the financial crisis. Trade policy tensions are weakening confidence and business investment, while persistent weakness in the manufacturing sector is negatively affecting household incomes and spending, the committee said. Significant financial market vulnerabilities have also arisen from a high level of indebtedness coupled with a slower growth environment.

The latest available data show an increase in global steelmaking capacity in the first half of 2019 to an annualised level of 2,290.1 million tonnes. In the absence of additional capacity closures during the remainder of 2019, global capacity would increase this year for the first time since 2015, the committee pointed out. The gap between global capacity and production has widened to about 440mt.

“At the same time, many new investments contributing to excess capacity continue to take place in specific jurisdictions, and many others are in the planning stage,” the committee said. Should these projects be realised, global capacity could increase by 23% between 2020 and 2022.

The committee also “…called for the removal of subsidies and other government support measures that hinder the exit of inefficient steel firms. Delegates also noted the importance of addressing consequences of structural adjustment by applying effective social dialogue and assisting displaced steel workers.”

CAPACITY UTILISATION The World Steel Association no longer publishes the global capacity utilisation levels on a monthly basis. In 2018 this reached 81%, the highest level since 2008, according to the data available from the OECD. Going forward this should decline further if the OECD outlook regarding new capacities coming on stream is correct.

Danieli, one of the largest technology suppliers for steelmaking, confirmed that it had noted that capacity utilisation increased 3% in the period July 2018-June 2019. Nevertheless for the July 2019–June 2020 fiscal year the capacity utilisation should drop for the first time since 2015. The technology supplier says the steel market will remain stable or show a slight drop due to the ongoing negotiations on duties. Capacity

etc, zie link

kallanish.com/en/weekly-steel/weekly-...

voda 8 oktober 2019 18:16

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ArcelorMittal Likely Approaching The Bottom

Oct. 8, 2019 8:15 AM ET | About: ArcelorMittal (MT), Includes: NUE, STLD
Stephen Simpson, CFA
Long only, growth at reasonable price, value, research analyst
Kratisto Investing
(10,556 followers)

Summary
Steel prices have continued to weaken, demand volume is not robust, and input prices are pushing margins to multiyear lows.

The second half of 2019 should see a bottom in ArcelorMittal's per-tonne EBITDA, and self-help should kick in starting in 2020.

Steel demand is still vulnerable to further macroeconomic weakness, but ArcelorMittal's valuation seems to price in a lot of pessimism.

It’s been a pretty brutal year for steel stocks, as even protectionist policies in the U.S. and EU haven’t done much to shore up weaker pricing and demand. I’ve been pretty negative on most of these stocks, though my basic thesis of “own good names like Steel Dynamics (STLD) and Nucor (NUE) if you have to own something” has played out, as those two companies have done less worse than ArcelorMittal (MT) thus far this year.

The flip side of owning better companies in tougher times is considering worse companies when conditions start to bottom out. Although I expect ArcelorMittal to report a pretty ugly third quarter, and I don’t think the fourth quarter will be all that much better, I think ArcelorMittal’s business may be bottoming out now. To that end, I believe this global steel giant could see double-digit EBITDA growth in 2019 and solid single-digit growth in 2020 and 2021, although the risk of recession in both North America and Europe is still a significant risk factor.

I don’t have enough confidence in ArcelorMittal to call this a must-buy, but I like the company’s asset sale plans (vague as they are), the ongoing emphasize on price and margin over volume, and the potential uplift from improvements at newly-acquired Ilva. At this point, I believe ArcelorMittal shares should trade closer to $20, and this is a name for more aggressive contrarians to consider.

Steel Prices Fading
I’ve been generally bearish on steel prices all year, and with U.S. hot-rolled coil prices down 26% year to date, I’m not exactly regretting that position. I thought North American producers like ArcelorMittal, Nucor, and Steel Dynamics would have a hard time passing through and holding the price increases they announced at the start of the summer, and the results there have been mixed.

Although some of the price boost has held up (U.S. hot-rolled prices are up about 9% over the past three months), prices have been eroding more recently (a mid-single-digit decline since early September), and both Nucor and Steel Dynamics announced lower third quarter targets (relative to average sell-side estimates) with their mid-September updates, and both blamed weaker pricing in part for the miss.

Capacity utilization in the U.S. has been fairly healthy (around 80%), but demand has been fading; companies like Nucor have continued to reaffirm healthy trends in non-residential construction, but markets like autos, heavy machinery, heavy manufacturing, and so on have been weakening.

As a global steel company that generates a little under half its revenue from Europe, North America is only part of the puzzle for ArcelorMittal. Unfortunately, the European piece isn’t looking any better. Hot-rolled prices are down about 17% year to date in Germany, and the trend has been weakening at an accelerating pace here lately. Plate steel, typically one of the highest-value non-treated steel types, has also been weakening, albeit not at quite the same pace as in the U.S. (a negative development for Nucor). With key European economies like Germany looking weaker, I’m not too confident about the near-term demand trends, and I don’t think the recent changes to EU quotas are going to do much more than offset the macro weakness.

voda 8 oktober 2019 18:16

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Deel 2:

Input Prices Correcting
One of the bigger issues for steel companies earlier this year was an unexpected squeeze between weaker steel prices and higher input costs. While iron ore prices are still up strongly on a year-to-date basis (up about 34%), coal and scrap steel prices have weakened significantly recently, with coal prices down about one-third over the last three months and scrap steel down about 15%. Given declining expectations for steel consumption and more steel companies looking at revising production, I’m cautiously bullish that input prices may correct to a point where margins should stabilize coming out of the second half of 2019.

Self-Help Should Start Showing Up In 2020
Although steel prices are always going to be one of the most important drivers for ArcelorMittal, the company does have some self-help potential in the nearer term. With second quarter earnings, management announced a two-year $2 billion non-core asset sale initiative. While the plan is thus far short on specifics, Bloomberg has reported that the company could look to sell its construction business and sell stakes in its iron ore assets. Both would make plenty of sense, and I believe ArcelorMittal could also perhaps look to sell some incremental steel capacity in divisions like ACIS.

Management is also pushing ahead with operational improvements at its (relatively) recently-acquired Ilva operations in Italy. This business was not well-run prior to ArcelorMittal’s acquisition, and the business generated about $400 million in losses through the first half; management believes they’re on track to significantly reduce that loss (at least on a run-rate basis) before year-end, and this could be an invaluable tailwind for reported EBITDA in 2020.

The Outlook
I think most of the damage has been done in the North American steel sector; although I don’t really see a credible argument for higher prices over the next 12 months, I don’t expect big declines unless there’s a full-blown recession in 2020. I likewise expect Europe to be more stable next year, though the risk of more economic weakness in Germany shouldn’t be ignored. Brazil, another important market for ArcelorMittal, has been weaker than expected so far this year, but I’m still cautiously bullish that there will be more evidence of recovery next year.

My long-term expectations for ArcelorMittal haven’t changed much from a DCF basis; I still expect very low single-digit revenue growth and low single-digit FCF margins. I’ve lowered my expectations for EBITDA for both 2019 and 2020, though not as much as the Street has (around 20% to 25%), as my starting assumptions were lower.

Both long-term FCF/DCF and near-term EV/EBITDA and ROE-P/BV argue for a fair value around $20 for ArcelorMittal today. I’m still using a forward EBITDA multiple of 4.5x that is below the long-term full-cycle average. As I mentioned above, I believe the next (third quarter) EBITDA number could be ugly, particularly on a per-tonne basis (maybe down more than a third qoq), but I expect margins to bottom either in Q3’19 or Q4’19.

The Bottom Line
I’ve never really loved ArcelorMittal as a business; I think the company has prized size and volume over margins and returns for too much of its history, and I don’t think the company is close to rivals like Steel Dynamics in terms of operational quality. That said, I think there’s a fair price for almost every going concern, and I think ArcelorMittal’s share price reflects more pessimism than is really fair at this point. I am concerned about the risk of a global recession pushing steel demand (and prices) even lower, but I think the share price already reflects a lot of that and doesn’t give the company much credit for its self-improvement plans nor what seems to be a strategic shift toward more sustainable priorities.

Disclosure: I/we have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

seekingalpha.com/article/4295485-arce...

voda 9 oktober 2019 16:15

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Revision of EU Steel Safeguard Improves on Technical Weaknesses – Mr Eggert

The EU has published and implemented its revision of the EU steel safeguard. The new design of the tariff-free quota will better stabilise trade flows by containing import concentration from certain exporting countries. While the changes have resulted in improvements, the result is still not sufficient for a large part of the sector, especially given that it is facing depressed domestic steel demand. Speaking after the publication of the revised measures on 27 September, the European Steel Association’s Director General, Mr Axel Eggert said that “The largest part of the steel sector is still being squeezed, hampered by unsustainable import pressure – pressure that will not abate, despite the changes made today.”

Mr Eggert said that “The steel sector is now back in choppy waters – demand is falling and imports are still at a very high level. The safeguard nevertheless keeps the door open for these historically high import volumes, even as market conditions deteriorate. We hope that the Commission will, in due course, further review the artificially high tariff free quota level and reduce it to close to the 2015-17 import volume.”

Mr Eggert added that “We had 18 ‘good’ months between the acute effects of Chinese dumping being stamped out towards the end of 2016 and the imposition of the US’ Section 232 tariffs in mid-2018. Imports have remained high and are increasingly concentrated from a handful of trade partners, including Turkey, Russia and China. This concentration has not been diminished by the safeguard measures. Steel prices have collapsed, even as costs continue to rise”.

While noting the fresh revision will have to be seen in action before conclusions can be drawn, EUROFER urges the EU to continue to defend the sector against unfair trade from third countries.

Source : Strategic Research Institute

voda 9 oktober 2019 16:16

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Outokumpu Appoints Mr Rajeev Sherry as MD of Indian Operations

Global Stainless Steel major Outokumpu has appointed Mr Rajeev Sherry as Managing Director to head company’s India operations. Mr Sherry, an engineering graduate and post graduate in Business Management, has earlier worked in various senior roles in Major Indian and global metal companies including Hindalco, Alcan and Rio Tinto. Mr Sherry said “Outokumpu is the global leader in stainless steel and a pioneer in product and application innovations with production facilities in Finland, Germany, Sweden, the UK, the USA and Mexico. In India, the company will mainly focus on high end application segment including growing energy sector which include nuclear, renewable and fossil energy. Other key offerings include applications for oil & gas, railways, chemical processing industries, coastal bridges and desalination plants where human safety and process efficiency elements play a key role.”

He said “Stainless steel is the fastest growing segment of the metals industry with a variety of applications. New applications are being continuously developed to meet more stringent requirements. In India, demand for stainless steel is on constant increase due to awareness about the product and availability of right grades and sizes. The demand for the corrosion free metal is growing in high end industries including oil & gas, energy and shipping-related industries, railways, ports, infrastructure and automotive where corrosion is a serious issue”

Mr Sherry also said “Apart from providing speciality steel to high end industries, Outokumpu continues to offer competitive cost advantages to other segments such as Architecture, Building and Construction, food processing, capital goods, Railways and pulp & paper industry. Outokumpu is recognized worldwide for its environmental work, and sustainability is at the core of the company’s purpose, working towards a world that lasts forever. Stainless steel itself is sustainable material, it is durable and 100% recyclable. The recycled content of Outokumpu products is over 85% against the industry average of 60%. Outokumpu’s unique track record in sustainable performance is the result of a long-term commitment, and in India, we will continue on the same path”

Source : Strategic Research Institute

voda 9 oktober 2019 16:17

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JSPL Q2 Sales up by 10%

Jindal Steel & Power Limited registered a 16% rise in production in Q2FY20 to 1.58 million tonnes in its domestic operations, with sales increasing by 10% to 1.46 million tonnes during the same quarter. The quarterly production and sales of steel & related products stood at 1.36 million tonnes and 1.32 million tonnes respectively in the same period last year. Mr V R Sharma MD of JSPL said “This has been one of the best quarters for JSPL on the back of strong operating and market performance. The company is on track to deliver its highest ever volumes this year and with the ramp up in production at Angul, we are confident of further accelerating the growth momentum in terms of production and sales."

He added that "Now our top priority is to take EBITDA to over 12,000 crores per year on a consolidated basis and reduce net debt by more than INR 10,000 crores to below INR 30000 crores over the next two years."

Mr Sharma reiterated that "We are hopeful that at the end of the year we will be able to close the same at around INR 34,000 crore."

Source : Strategic Research Institute

voda 9 oktober 2019 16:17

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Thyssenkrupp to Cut Admin Jobs to Cut Cost of EUR 2 billion

Reuters quoted two people familiar with the matter as saying that thyssenkrupp is slashing some administrative jobs to cut down on the more than 2 billion euros of costs it incurs in that field each year. The sources said that a majority of the 300 administrative roles at Thyssenkrupp’s car parts and plant engineering divisions will be cut. New Chief Executive ms Martina Merz will discuss the leaner set-up at a meeting with top-level managers on Tuesday where she will present more details of a previously announced strategy to simplify the group.

Thyssenkrupp announced in May a major strategic shift, pursuing a full or partial sale of its elevator unit and seeking buyers for its struggling plant engineering, car parts and shipbuilding divisions.

Source : Reuters

voda 9 oktober 2019 16:20

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Waar o waar is Arcelor?

World Steel Association shortlists 10th Steelie Awards

The World Steel Association has announced the shortlist for the 10th Steelie Awards. The Steelie Awards recognise member companies or individuals for their contribution to the steel industry over a one-year period in a series of categories impacting the industry. The winners will be revealed at the Annual Dinner of the 2019 General Assembly in Monterrey, Mexico on Monday, 14 October. The Steelies are awarded in seven categories:

Excellence in digital communications
Metinvest Holding LLC
POSCO
Tata Steel Limited
Tenaris
Ternium

Innovation of the year
Ansteel Group Corporation Limited - Reducing emissions through new double layer pre-sintering process
China Steel Corporation - Improving steel quality with residual stress technologies
HBIS Group Co Ltd - Continuous casting thick plate slab heavy reduction (TPSHR)
POSCO - Development of inkjet-printed steel (PosART*) and its manufacturing technology
POSCO - World’s first autonomous blast furnace operation by industrial AI

Excellence in sustainability
ArcelorMittal - Climate Action Report 2019
BlueScope Steel Limited - Australian Steel Products Power Purchase Agreement
JSW Steel Limited - Conveyor system for iron ore transportation
Tata Steel Limited - Recycling and reusing Jamshedpur township water for industrial application

Excellence in Life Cycle Assessment
Baotou Iron & Steel (Group) Co Ltd - Supporting production improvement and product marketing
HYUNDAI Steel Company - Creating a by-product resources recycling network
Tata Steel Europe - Developing an LCA tool to assess the sustainability of new product developments
Tata Steel Europe - Developing demountable composite floor deck (CFD) in the construction sector
Tata Steel Limited - Promoting hollow tubular steel sections in the construction market

Excellence in education and training
Gerdau SA - G.Makers
Tata Steel Europe - Leading Safety Excellence (LSE)
Tata Steel Limited - Contractor competency building
Tenaris - The Essential Knowledge Strategy
Ternium - Roberto Rocca Technical School in Pesquería (Nuevo León, Mexico)
TMK (PAO) - Corporate professional skills championship: Games of Masters

Journalist of the year
Hongmei LI, Mysteel Global
Paul LIM, Fastmarkets
Elena MAZNEVA, Bloomberg
Maria TANATAR, Fastmarkets

Excellence in communications programmes
POSCO - #SteelSaveEarth
Nippon Steel Corporation - Promoting the sustainability of steel to every generation
Tata Steel Limited - #WeAlsoMakeTomorrow
Ternium - Acero para Hacer (Steel to Make)

The selection process for the shortlist varies between awards. In most cases the submissions are requested via the appropriate worldsteel committee. Entries are then judged by selected expert panels.

Source : Strategic Research Institute

Bijlage:

voda 9 oktober 2019 16:21

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voestalpine R&D Budgets EUR 184 Million for 2019/20

Permanent innovation is essential if voestalpine is to succeed in international and technologically sophisticated markets. The technology group has continuously expanded its research budget over the past decade, raising it by a total of 70 percent. Its current budget of EUR 184 million makes voestalpine one of Austria’s most research-intensive companies. Development focuses on the drive to digitalize the entire value chain, as well as on innovations for the mobility industry and CO2 reductions in steel production. voestalpine employs more than 700 researchers at 70 Group companies around the world and has secured over 3,000 proprietary patents.

Herbert Eibensteiner, Chairman of the Management Board of voestalpine AG, said “As a result of its intensive research and development activities over the past years, voestalpine has established itself as a leading technology supplier to the automotive, railway infrastructure, aerospace, energy, toolmaking, and consumer goods industries.

EibensteinerThe current research budget of 184 million euros, representing an increase of around 8 percent over the previous year, once again highlights the priority placed on innovation at the voestalpine Group. Even in economically challenging times, we will continue to consistently invest in developing new products and processes, because we can only safeguard our position as a global player in the most sophisticated product segments through specialization and quality.”

Around 100 national and international partners, including universities, universities of applied science, research institutes, and competence centers, constitute the voestalpine scientific network. The Group also intensively engages in development of partnerships with its key customers.

Source : Strategic Research Institute

voda 9 oktober 2019 16:27

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US Steel Enhances Operating Model to Support the Next Phase of Strategy and Transformation Execution

United States Steel Corporation announced that it is implementing an enhanced operating model and organizational structure to accelerate the company’s strategic transformation and better serve its customers, to be effective Jan. 1, 2020. These initiatives reduce costs and more closely align US Steel’s corporate structure with the company’s previously announced strategic investments in leading technology and advanced manufacturing, including the recently announced purchase of a minority interest in Big River Steel, the newest and most advanced flat-rolled mini mill in North America, with a clear path to consolidation.

The realignment of US Steel’s leadership team around more nimble and efficient executive functions, notably to sharpen focus on operational and commercial excellence and promote technological innovation, will enable the company to establish a more competitive cost structure with enhanced capabilities to serve priority customers in strategic markets. Additionally, this enhanced operating model will create a new, differentiated U. S. Steel with a team that is charged with leading the execution of the strategy and increasing profitability. It also will further unlock the value of U. S. Steel’s announced investments in Big River Steel and at Mon Valley Works and Gary Works to drive profitable growth, deliver capital and operational cash improvements, and position U. S. Steel to continue to be an industry leader in delivering high-quality, value-added products.

Separately, and unrelated to the enhanced operating model, US Steel also announced that Sara A. Greenstein, Senior Vice President of Consumer Solutions, has resigned effective Oct. 11, 2019, to assume the role of chief executive officer of a publicly traded company. Joe Smous, General Manager, Construction and Converters, has been appointed interim Head of Consumer Solutions, effective Oct. 11, 2019, and will report directly to Burritt. Also, effective Oct. 11, program management of the construction of the endless casting and rolling line at Mon Valley Works, as well as corporate communications, will also report directly to the CEO.

In a separate press release issued, the company announced that Christine (Christie) S. Breves, currently Senior Vice President, Manufacturing Support and Chief Supply Chain Officer, has been appointed Chief Financial Officer of US Steel, effective Nov. 4, 2019. Kevin P. Bradley, current Executive Vice President & Chief Financial Officer of US Steel, is resigning and will remain with the company as Executive Vice President and Adviser to the CEO to provide transitional support through the end of 2019. Breves will retain her current responsibilities through the end of the year, most of which will be realigned with the new organizational model effective Jan. 1, as described below.

The following individuals will remain members of the US Steel Senior Vice President Executive Team, effective January 1, 2020, all reporting directly to Burritt:

Scott Buckiso, currently Senior Vice President, Automotive Solutions, has been named Chief Manufacturing Officer North American Flat-rolled (NAFR) segment. Scott will lead all NAFR production facility activities with a focus on safety, quality, delivery, and cost for customers and stockholders. Scott continues to be responsible for implementing US Steel’s advanced high strength steel coating line at the PRO-TEC joint venture and will assume responsibility for the execution of the remaining strategic projects that will create a world-class hot strip mill at the company’s Gary Works facility. Scott will also assume leadership for the company’s logistics services organization; Transtar, US. Steel’s short-line railroad subsidiary; sales and operations planning (S&OP); engineering; and corporate quality.

Doug Matthews, currently Senior Vice President, Industrial, Service Center, Mining Solutions and Tubular, has been named Chief Commercial & Technology Officer. Doug will lead all NAFR commercial activities and integrate all innovation, research, development, and information technology in North America with a focus on customer satisfaction, new business, market share growth, new technology and digitization acceleration. In addition, he will continue to provide leadership to the Tubular and Mining businesses, including the world-class EAF under construction in Alabama.

Jim Bruno, Senior Vice President, European Solutions and President, US Steel Košice, will continue to lead all aspects of European commercial and operating activities, including the world-class electrical steel Dynamo line currently under construction at USSK, as President of U. S. Steel Europe.

Christie Breves, currently Senior Vice President, Manufacturing Support and Chief Supply Chain Officer, will assume the role and responsibilities of Chief Financial Officer, effective Nov. 4. Following the Jan. 1 reorganization, Breves will retain responsibility for procurement and cash management, along with the responsibilities of the principal financial officer function.

Rich Fruehauf, currently Senior Vice President, Strategic Planning and Corporate Development, has been named Chief Strategy and Development Officer. Rich will continue to lead Strategy, Government Affairs, Environmental Affairs and Sustainability to ensure delivery of identified synergies through a leaner footprint with more sustainable development focus.

Duane Holloway will continue to lead all aspects of the General Counsel function, including ethics and compliance, during this period of rapid change as General Counsel, Chief Ethics & Compliance Officer and Corporate Secretary.

Barry Melnkovic will continue to lead all aspects of talent management, as well as labor relations and payroll, to ensure the company attracts and invests in the best talent to serve customers while rewarding employees as Chief Human Resources Officer.

Source : Strategic Research Institute

voda 9 oktober 2019 16:30

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Fives to Provide Eco Friendly Reheating Furnaces for China

Due to the importance of environmental responsibility in China, local steelmakers are committed to choosing green technologies for non-polluting performance. In view of this. Fives was selected for two contracts to design and supply reheating furnaces to Chinese steelmakers, both with very strict requirements on energy consumption and NOx emissions. The first project covers an ultra-low NOx emission furnace to reheat long products, such as stainless steel bars, coils or wires for Yantai Walsin Stainless Steel. Yantai Walsin is a subsidiary of Walsin Lihwa, a world leading manufacturer of stainless steel. The advanced technology offered by Fives - Stein Reheating WBF, a walking beam furnace, will completely satisfy client's requirements. The high standard furnace will have a capacity of 85 tons per hour and will be equipped with the latest generation of AdvanTek® burners, designed in France. The AdvanTek® burners will guarantee energy efficiency and ultra-low NOx emissions - less than 100 mg/m3, which is a real benefit to Yantai Walsin.

The second contract was signed with HBIS SHISTEEL - Shijiazhuang Iron & Steel Company within China's HBIS Group for two reheating furnaces, each with a production capacity of 130 tonnes per hour. The ultimate choice was Stein Digit@l Furnace® due to its green performance. This walking beam furnace, operating on natural gas, is equipped with the patented wide flame burners and a combustion system with individual on/off control. The wide flame burners improve the crosswise and lengthways temperature profiles of the products, while the individual on-off control allows high thermal efficiency while reducing fuel consumption and NOx emissions. HBIS SHISTEEL is now relocating its steelmaking facilities 80 kilometers away from Shijiazhuang city to set up new standards for cleaner, more flexible and more efficient steelmaking in China.

The scope of both projects on EPC basis includes engineering, equipment supply, erection and commissioning, which will be completely executed by Fives Stein Metallurgical Technology (Shanghai), a Fives' subsidiary in China.

Source : Strategic Research Institute

voda 9 oktober 2019 16:33

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South African Steel Pipe Producers Robor Shuts Shop

Once one of southern Africa's largest suppliers of steel, 90 year old Robor tube and pipe, will close its doors. Tiso Blackstar, which holds a stake of almost 48% in Robor, blamed its demise on the weak state of the economy and cheap Chinese imports, among other factors. In addition, delays in the signing of Independent Power Producer agreements with the South African Government and the well-publicised financial demise of Eskom have caused systemic harm to both production and revenue generation in South Africa’s steel tube and pipe manufacturing sector. It also said that new US import duties on imported steel, hurt Robor's sales of specialised steel pipe into the US oil and gas industry, previously a lucrative export market.

Tiso also blamed government for not extending import duty and tariff protection to downstream industries, "thereby exposing steel fabricators to huge margin erosion to compete with imported steel-manufactured goods".

Germiston-based Robor has seen a sharp slump in volumes over the past 18 months, and despite restructuring, cost-cutting and new deals with credit providers, have not been enough to stop the company's decline.

Source : Strategic Research Institute

voda 9 oktober 2019 16:34

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State premier of Saarland Calls for Support to Turn Steel Industry Climate Neutral

The German steel industry should receive billions in government support to become climate neutral, Tobias Hans, state premier of Saarland, has called for in a letter to Chancellor and CDU party colleague Angela Merkel, reports Frankfurter Allgemeine Zeitung. Mr Hans said that "If we want green steel, we have to support it. While global overcapacity, lower demand from the car industry and subsidy practices of other countries have already strained the industry, the government's new climate action package would make the situation more difficult by pushing up energy prices.”

He added that "If we have 40 billion euros to phase out coal-fired power generation in the name of climate action, we must also be able to raise a billion-euro sum without double figures to lead our steel industry into a climate-neutral future. Although the new climate package was right, he warned against allowing steel production to migrate to countries with fewer ecological and social standards, thus doing climate action a disservice.

Decarbonising Germany's steel industry remains one of the most difficult parts of the energy transition. But the idea of replacing fossil fuels with green hydrogen in steelmaking is gaining traction. Steelmaker Thyssenkrupp has announced plans to replace CO2 intensive coke based steel production with a hydrogen-based process by 2050 while rival Salzgitter has developed a technically feasible but not economically viable concept to replace fossil fuels with a gradually rising share of renewable hydrogen in their production process.

Source : Clean Energy Wire

voda 9 oktober 2019 16:34

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Ann Joo & Southern Steel form JV for Long Product Steel Manufacturing

The Edge Markets reported that Ann Joo Resources Bhd and Southern Steel Bhd are joining forces via a 55:45 joint venture company to synergise opportunities in the long product steel manufacturing business. In bourse filings, both parties said they have signed a memorandum of understanding for the formation of a strategic alliance in relation to the business. Under the proposal, SSB will be selling the entire equity interests including assets and liabilities of its units Southern Steel Rod Sdn Bhd, Southern Steel Mesh Sdn Bhd, Southern PC Steel Sdn Bhd and Danstil Sdn Bhd to the JV Co for RM742.5 million. Meanwhile, AJRB will be disposing of its entire interest in Ann Joo Integrated Steel Sdn Bhd, Ann Joo Steel Bhd and Saga Makmur Industri Sdn Bhd to the JV Co for RM907.5 million. The new JV Co will be a 45%-associated company of SSB and a 55%-subsidiary of AJRB via the issuance of new ordinary shares, the parties said.

The filling said that "The proposal aims to establish a joint venture comprising the long product steel manufacturing businesses of SSB and AJRB, both of which are established players in the Malaysian steel market, to promote business efficacy and obtain synergistic benefits for such businesses. The proposal brings together the strengths of both SSB and AJRB with a vision to create a highly competitive long product steel manufacturer in South East Asia which will be better positioned to fully support the evolving needs of their customers.”

The parties are expected to effect the proposal within 90 days from the date of the MoU or such extended period which is no later than six months from the date of the MoU, subject to a further extension of three months in the event the conditions precedent as stated in the MoU are not fulfilled or waived.

Source : The Edge Markets

voda 9 oktober 2019 16:35

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GMS Market Commentary on Shipbreaking in Week 40 - GREEN SHOOTS!

Green shoots of recovery have been evident in the subcontinent markets over the past week or so particularly in Bangladesh, where a number of (premium) sales have taken place that breached the USD 400/Ton mark, giving a real sense of encouragement to Ship Owners, Cash Buyers (still with expensive inventory on hand) and End Buyers, who have remained on the sidelines for the most part. Notwithstanding, there remain very few fresh candidates available for sale, as freight markets push on across all sectors, leaving any available scrap tonnage (especially non-green) heading to Chittagong shores at present.

Overall, India remains the lowest and most unfavorable destination at present, with End Buyers lacking any sort of aggression or interest to purchase, as they have been presenting lowball / opportunistic offers for vessels mooted to be heading their way. As such, it seems unlikely that India will get their hands on fresh units any time soon, with only eight vessels beached over the month of September (including small LDT tugs and supply vessels) – reportedly, the lowest number in almost 10 years!

Pakistan too has stayed in its shell, with minimal interest and risible rates (reflective of India), as they prefer to ‘wait and watch’ market developments, following a halt to Iranian scrap imports, which should (hopefully) see optimism flood back to this market. However, what they are ‘waiting and watching’ for is quite the mystery, as they have not secured any serious tonnage for well over a year now!

Therefore, with demand and pricing finally starting to get back on its feet in Bangladesh and a dwindling supply of vessels (despite 2020 just around the corner), it is hoped that competing markets in India and Pakistan may start responding to this long overdue recovery. On the far end, as fundamentals in Turkey level out and prices get steady at the remarkable new lows (nearly USD 50/MT lower than before), the aggression to acquire remains prevalent as local Buyers seek to secure bargain units.

Source : Strategic Research Institute

voda 9 oktober 2019 16:36

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Alro Steel Purchases New Milwaukee Location

Alro Steel is pleased to announce the purchase and expansion of our new Milwaukee facility (4343 S. Sixth Street, Milwaukee, Wisconsin). The new location is 108,000 square feet with an addition of 96,000 square feet to be completed in late 2020. Upon completion, the 204,000 square foot facility will have updated offices, expanded inventory and additional processing capabilities. The Alro Steel Wauwatosa facility (3000 North 114th St. Wauwatosa, WI) will be relocated to Sixth Street once construction is completed. The new facility will allow Alro to focus on providing our customers with cut-to-size metals and next day delivery in Wisconsin.

Alro Steel was founded in 1948 by brothers Al and Robert Glick. The company is a distributor of metals, industrial supplies, and engineering plastics.

Source : Strategic Research Institute

voda 9 oktober 2019 16:42

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Liberty Steel USA Planning Investing at Georgetown Steelworks

WCIV reported that Liberty Steel USA is planning on making a multi-million dollar investment in its liquid steel production facilities at Georgetown, South Carolina. The company is planning to invest up to USD 25 million dollars to install a modern electric arc furnace at the Georgetown mill, as well as extensively improve the infrastructure of the mill’s melt shop. The goal is to boost output substantially and secure the long-term future of the mill. The mill re-opened over a year ago. Mr Michael Setterdahl, CEO of Liberty Steel USA said that “We have a very efficient rolling mill at Georgetown and we now want to put a world-class melt shop behind it so we can achieve our goal to become the leading supplier of wire rod to the region and secure the long-term future of the site.”

Mr James Sanderson, United Steelworkers Union President at Georgetown said that “Our members at Liberty are very encouraged by the news that there is going to be a big investment in the melt shop. Since the mill re-opened last year, they’ve worked hard to give it a successful future and their efforts have given Liberty the confidence to make this important long-term commitment to Georgetown.”

In addition to the installation of a new electric arc furnace, Liberty says the investment project will include new electrical systems, improvements to water and natural gas supply and ancillary equipment to support improved melt shop operations, along with environmental permits for modifications to regulated processes.

Source : Strategic Research Institute

Vertraagd	22 mei 2024 17:38
Koers	23,920
Verschil	-0,160 (-0,66%)
Hoog	24,110
Laag	23,660
Volume	2.253.844
Volume gemiddeld	2.543.351
Volume gisteren	2.229.090

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