US Steel exchanges plate business with ISG's pickling line

US Steel exchanges plate business with ISG’s pickling line

US Steel Corp. (USS), intending to swap assets of its plate business including the plate mill at Gary Works, Indiana with the assets of International Steel Group Inc.'s (ISG) No.2 pickling line at Indiana Harbor Works, recently announced that they have signed a letter of intent. According to a top executive of USS with this asset exchange, they will be able to concentrate on their core business which is value-added sheet products by leaving the plate market. He also added, throughout the transition process they will do their best in order to maintain current quality and service, as well as to keep up with the delivery program. Besides, it is obvious that ISG is planning to strengthen its presence in US plate market, where it is already a leader, through acquiring the plate mill which accounts for 3% of domestic steel shipments in the US. ISG's pickling line, already a supplier of tin and tin-free steel production lines of USS at East Chicago, produces hot rolled steel in width max. 1524 mm and has an annual production capacity of 560'000 net tons. Transaction is expected to complete towards the last quarter.