Gerdau reveals its restructuring plan
According to the latest industry news, Brazilian steel producer Gerdau has recently revealed its group restructuring plan which is expected to result in a cost saving of $60 million in five years. In line with the restructuring, Gerdau's Brazilian operations will be transfered to Açominas and the name of the operation will be changed into Gerdau Açominas SA, with the headquarters located in Ouro Branco in Minas Gerais state. Gerdau SA will maintain its position as a publicly traded company and will manage Gerdau Açominas and Gerdau Ameristeel with the subsidiaries; Gerdau Aza in Chile, Gerdau Laisa in Uruguay. Gerdau Açominas is expected to be more efficient with ten steel mills and to produce crude steel of 7.4 million tons per annum. The officials of Gerdau also state that the company will improve its product mix through assets.