Brazilian flats steelmaker Usiminas said on Friday it took further measures to handle the Covid-19 pandemic. The company will halt its No. 2 blast furnace and suspend activities at No. 1 steelworks facility, both located at its Ipatinga mill in the city of same name in Minas Gerais state, effectively on April 4.
Usiminas will also shut down its No. 1 blast furnace at the Ipatinga mill, effectively on April 22. Additionally, the flats steelmaker will also provisionally suspend activities at its Cubatao mill, in the city of same name in São Paulo state.
Usiminas said the measures are due to Covid-19 and reduced domestic demand. The Ipatinga mill will continue operating its No. 3 blast furnace, No. 2 steelworks, rolling mills, galvanizing as well as other product lines.
The company also announced a decrease in Capex spending in 2020 which should decline to BRL 600 million ($112.7 million), from its previous estimate of BRL 1 billion ($187.9 million) released on February 2020.