Mexican steel producer Simec announced investments of $300 million to expand the production capacity of its Pinda plant, located in the city of Pindamonhangaba, in the state of Sao Paulo.
The Pinda plant produces long steel products and the investment will double production capacity from the current 500,000 mt per year to 1.0 million mt per year, with the new capacity commencing in June 2024.
The investment consists of a new electric arc furnace and a new rolling mill, to be produced in China with German technology. The additional capacity will cover rebar and wire rod.
In Brazil, Simec is the third largest producer of long steel products, after ArcelorMittal and Gerdau, having two other plants, located in Cariacica, in the state of Espirito Santo, and Itauna, in the state of Minas Gerais, both in the Brazilian southeastern region.
Considering an ongoing expansion at the Cariacica plant, Simec will have a 1.7 million mt of rolling capacity when the expansion of the Pinda plant is concluded.