Steel Mills
JSW Steel USA Accelerates Upgrades
Written by Sandy Williams
August 11, 2020
JSW Steel plans to accelerate its plans to overhaul its U.S. facilities in Ohio and Texas. Both plants have been idled due to weak demand and pricing resulting from COVID-19 impacts.
The plant in Mingo Junction, Ohio, will receive an upgrade to its 1.5-million-ton capacity electric arc furnace and is expected to restart production in March. Due to a deficiency of steel slabs in the U.S., the Ohio plant will change its focus from coils to slabs, said Parth Jindal, director of U.S. operations.
The pipe mill in Baytown, Texas, is scheduled for repairs to equipment as well as operational efficiency improvements that will cut costs.
“Our plan is to reduce the losses and be extremely frugal and focus on completing these projects,” Jindal said in an interview with Bloomberg. “From next year onward, we truly believe the U.S. operations will be well positioned to be earnings accretive to JSW Steel.”
The U.S. operations recently changed leadership with Mark Bush, formerly of SSAB, stepping in as CEO to replace John Hritz. Hritz is continuing his tenure with JSW Steel with a new focus on strategy and legal affairs.
Jindal said that JSW Steel Ltd. remains “very committed” to its USA operations.
“Once the modernization projects are completed and we bring down our cost curve, then we see no reason why the U.S. business can’t generate positive earnings,” he said. “It still remains an important part of our organization and all efforts are on to turn around the operations.”
Sandy Williams
Read more from Sandy WilliamsLatest in Steel Mills
USS confirms split CFIUS decision on Nippon deal; it’s now up to Biden
Nippon Steel's purchase of U.S. Steel could lead to lower steel output domestically, and that presents “a national security risk," the Washington Post reported.
USS/Nippon deal: Who will have the happiest holidays?
Will Santa bring gifts for the leadership, employees, and shareholders of U.S. Steel and Nippon Steel, and lumps of coal for USW leadership and politicians opposed to the deal?
‘Orderly liquidation’ of AHMSA assets begins
A trustee has formally taken over AHMSA and begun the liquidation process of the bankrupt Mexican steelmaker.
Nippon buying stake in Canadian iron ore project
Nippon Steel and a Japanese trading company have entered an agreement to buy a 49% interest in a Champion Iron ore project in Canada.
USS anticipates Q4 loss on weak demand, BR2 start-up
Amid a challenging pricing and demand environment, and with the ongoing ramp-up of the Big River 2 mill, USS is anticipating a loss for the fourth quarter.