International Steel Mills
CRU: Gerdau mulls new steel mill in Mexico
Written by CRU
May 9, 2024
Brazil-based Gerdau has announced it will carry out a feasibility study into the greenfield development of a 600,000 metric-ton-per-year (mt) special steel plant in Mexico. The driver is a positive outlook for the country’s automotive industry and the near-shoring movement in the US.
“We are always looking for opportunities that can add value to our portfolio, observing future consumption trends, and markets that are aligned with our ambitions,” said CEO Gustavo Werneck.
“Today, the Mexican market embodies the characteristics we seek for sustainable business expansion. Major players in the automotive industry, including Gerdau’s current clients, are expanding their operations across Mexico, which is becoming one of the most important producers of automotive parts.”
Local media quoted him as saying the new mill would require an investment of between $500-600 million.
The company is still assessing locations, particularly in central Mexico where it already produces long steels. Gerdau also operates two special steel mills and two downstream plants in the US.
Learn more about CRU’s services at www.crugroup.com.
Latest in International Steel Mills
POSCO mulls teaming up with Hyundai on Louisiana mill
South Korea’s POSCO is eyeing linking up with Hyundai Steel in the project to build a steel plant in Louisiana, according to media reports.
Global steel production edges lower in February
February’s global raw steel output is tied with last December's for the fourth-lowest monthly production rate recorded over the past two years.
Japanese PM cites ‘unjust political interference’ in Nippon/USS deal: Report
Japan’s Prime Minister Shigeru Ishiba said on Monday that former President Joe Biden’s decision to block Nippon Steel’s buy of U.S. Steel was “unjust political interference,” according to a report in Reuters. This comes after another Reuters report on Friday saying that President Trump would not object to Nippon taking a minority stake in the […]
Opening briefs filed in Nippon/USS lawsuit vs. US government
Together, Nippon Steel, Nippon Steel North America, and U.S. Steel announced the filing of their opening brief in their litigation to invalidate the government’s decision to block their announced merger. The brief lays out “how President Biden made a predetermined decision for political reasons, not national security, causing CFIUS to engage in a sham review […]
Hyundai mulls building $6B sheet steel mill in southern US
Hyundai Motor Group is reportedly considering building a sheet steel mill just south of Baton Rouge, La.