US-based industrial conglomerate Esmark, Inc., began its expansion outside its borders with the inauguration of Esmark Steel International to serve the Mexican flat-rolled steel market, the company reported in a press release.
Esmark Steel Group, a subsidiary of Esmark, will be located in the northern city of Monclova, Coahuila (headquarters of Altos Hornos de México, AHMSA). The company said it has hired the commercial and marketing director of AHMSA, Luis Landois Garza.
“Luis Landois has joined Esmark Steel International as President, leading the growing team and the entirety of the operations, reporting to Esmark Steel Group CEO Roberto Alvarez. “Landois has more than 30 years of experience in the Mexican steel and industrial markets,” the company reported.
AHMSA is one of the largest steel companies in Mexico, however it has not produced any steel since the beginning of the year due to insolvency.
“It is a great contract with Esmark, Luis knows AHMSA's entire client portfolio and has a very good relationship with those clients. It is one more stone in the grave of AHMSA,” commented an industrialist to SteelOrbis, who asked to remain anonymous.
Esmark Steel International will supply flat rolled steel to the construction, metal products, rail car, automotive machinery, sheet metal and electrical equipment markets with products such as hot roll, cold roll, tin plate, metallic coated, painted, and digital printed coils.
According to the company, Monclova is an important railway car production center for America, attracting operating equipment manufacturers (OEM) and different producers due to the availability of inputs and trained labor. He also highlighted the growth of the industry in the manufacture of steel poles, windmill towers, pressure vessels and pipes. Monclova is also home to the automotive industry, specializing in the manufacture of truck frames and trailers.
Esmark is a private business conglomerate that last August launched an offer to try to buy US Steel for $35 per share, for a total of $7.8 billion. However, it did not continue in the bid because the company said it respected the position of the United Steel Workers (USW) union to support the purchase of the Cleveland-Cliffs steel company.