Steel Mills
Losses Keep JSW Steel USA Idled Until March 2021
Written by Sandy Williams
October 26, 2020
JSW Steel’s assets in Texas and Ohio both reported losses for the second quarter of FY 2021. At Baytown, the pipe mill remained idled and the plate mill operated at only 22 percent of capacity, producing 54,137 metric tons. EBITDA for the subsidiary was positive at $17.24 million, but only due to a $30.4 million one-off credit.
The Mingo Junction, Ohio, facility produced 4,501 metric tons of hot rolled coil before being idled early in the quarter. Revenue was $18.43 million, but the segment posted an EBITDA loss of $10.52 million.
JSW Steel Ltd. CFO Seshagiri Rao said the losses at the U.S. subsidiaries are gradually narrowing. The Tubular segment at Baytown was expected to improve in Q4 FY 2020, but further quota restrictions on imports of slab from Brazil made it too challenging to continue operations. Operations have been idled in both Texas and Mingo Junction until March 2021 when operating conditions are expected to improve. During the downtime, both locations will be modernized to improve performance, the company said.
JSW Steel Ltd. consolidated net earnings totaled 1,595 crores ($216 million). Sales increased 49 percent quarter-over-quarter to 4.15 million metric tons.
Sandy Williams
Read more from Sandy WilliamsLatest in Steel Mills
SDI announces proprietary low-carbon EDGE products
Steel Dynamics has announced lower-embodied-carbon steel products BIOEDGE and EDGE, and expects “immediate interest” from several markets for some of the offerings.
Wheeling-Nippon Steel raises Galvalume coating extras
The steelmaker released updated extras to customers on Oct. 15, marking the second adjustment in just six weeks following their early September revision
Cliffs offloading some FPT assets, considering HBI plant sale as well
Lourenco Goncalves confirmed that Cleveland-Cliffs is actively selling off portions of its Ferrous Processing and Trading (FPT) assets. Its direct reduction plant in Toledo, Ohio, may also be up for grabs...
SSAB cites US strength but flags tariff-driven uncertainty
The Americas segment of Swedish steelmaker SSAB delivered a stable third quarter, but with weaker shipments and continuing cautious demand. Plate prices held, but tariffs, slowing end-user demand, and...
AHMSA drama deepens as drawn-out bankruptcy slowly progresses
A former CEO goes to court for swiping tin. An OEM distributor slams the bankruptcy trustee for failing workers and creditors. The steelmaker fires back. Angry employees demand back pay as tensions rise in Monclova's steel saga.