Gerdau sees positive outlook in South America

Thursday, 02 September 2021 21:53:30 (GMT+3)   |   Sao Paulo

Brazilian integrated steelmaker Gerdau unveiled on Thursday a positive outlook for its businesses in South America. According to a company’s presentation to analysts, the outlook for its mills in Peru, Argentina and Uruguay remains positive.

In Peru, where it owns Siderperu, Gerdau sees a “positive performance” for the domestic steel market, with a “strong” demand coming from the local civil construction industry.

Gerdau also owns Sipar Gerdau Inversiones SA in Argentina, which has an annual installed capacity of 650,000 mt of crude steel and 263,000 mt of rolled products. In Argentina, Gerdau sees the continuity of what it labeled as the “good levels of activity” in the civil construction and agriculture sectors. It also expects steel output to normalize.

In Uruguay, Gerdau sees a similar trend with the continuity of the good levels of activity in the civil construction sector, fueled mainly by the infrastructure segment. In Uruguay, the Brazilian steelmaker owns Gerdau Laisa SA, a mini-mill and one of Uruguay’s largest long steel producers, with an annual installed capacity of 100,000 mt of crude steel and 90,000 mt of rolled products.

Last year, Gerdau halted operations in Argentina, Uruguay and Peru, but then resumed activities as the effects of Covid-19 eased.

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