Brazil-based Gerdau Corsa opened a new mill this week in Ciudad Sahagún, Hidalgo,
Mexico with an investment of US$600 million.
The facility will be fully operational by August 2014 and will have an annual installed capacity of one million tons of semi-finished products and 700,000 tons of structural steel.
Renato Silva, director of Gerdau Corsa in
Mexico, explained that the Company intends to supply domestic demand in the construction sector.
"Reforms give the opportunity to expand and encourage the investment of foreign capital, so that positively impact their economic and social position compared to other countries," he said, referencing the recent spate of energy reform in
Mexico.
The executive also highlighted that
Brazil and
Mexico are the main consumers of steel in the Latin American region, with consumption levels at 24.6 million tons per year and 17.1 million tons, respectively.