ArcelorMittal reviews Vega do Sul project in Brazil

Tuesday, 12 May 2020 23:11:53 (GMT+3)   |   Sao Paulo
       

ArcelorMittal is reviewing projects in Brazil and Mexico, as Covid-19 hit the global steelmaking business. Aside from Mexico, which delayed its hot strip mill from Q2 2020 to 2021, the company has also postponed its expansion investment at the ArcelorMittal Vega do Sul facility in Santa Catarina state, SteelOrbis has learned.

According to a recent Securities Exchange Commission (SEC) document filing, ArcelorMittal delayed its planned investment to increase hot dipped and cold rolled coil capacity from 2021 to 2023.

“Given the exceptional circumstances the project has been slowed and project completion is now expected at the end of 2023,” the company said.

ArcelorMittal has first announced it in August 2018. It said at the time it would invest $300 million to increase rolling capacity with the construction of a new continuous annealing line and CGL combiline, with the option to add an organic coating line to serve construction and appliance segments.

Both the company’s Juiz de Fora melt shop expansion and the Monlevade sinter plant, blast furnace and melt shop expansion projects remain on hold, same as before Covid-19.


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