Nippon Steel to Expand Global Supply of High Tensile GA Steel Sheet for Cars

Nippon Steel expands global supply of high tensile galvannealed (GA) steel sheet for automobiles. The firm will start commercial production of 980 MPa class GA steel sheet at U.S. joint productive company, I/N Kote, in 2011. Nippon Steel also plans to start production of 980 MPa class GA steel sheet at new plants under construction in Mexico and Thailand. Both the new plants will start operation in 2013. Nippon Steel also eyes local production of 590-980 MPa class GA steels sheet at Brazilian joint productive company, UNIGAL, which started no.2 continuous galvanizing line this year.

Fuel efficiency requirements are recently tightened in many countries. Automakers are requiring global supply network organization for high tensile GA steel sheet against Japanese integrated steel makers since high tensile GA steel sheet enables lighter car weight without reducing car safety.

Nippon Steel has concluded a technical cross license for automotive steel sheet with Arcelor Mittal in Europe. In the U.S.A., Nippon Steel operates two joint productive companies of automotive steel sheet, I/N Tek with cold rolling capacity at 1.7 million short tons per year and CAPL (continuous annealing and processing line) capacity at 1.2 million short tons per year and I/N Kote with CGL (continuous galvanizing line) capacity at 500,000 short tons per year and electro galvanizing line capacity at 450,000 short tons per year.

UNIGAL, Brazilian joint company between Nippon Steel and Usiminas, has CGL capacity at approximately 1 million tonnes per year. In China, BNA, the joint company between Nippon Steel and Bao Steel, has cold rolling capacity at 2.2 million tonnes per year with CAPL capacity at 950,000 tonnes per year and CGL capacity at 1.25 million tonnes per year.

In 2013, new CGL plants will start operation at other joint companies in Thailand, Mexico and India. The additional CGL capacity will total 1.36 million tonnes per year. Thus Nippon Steel will establish global supply network of automotive steel sheet with total capacity at 6.5 million tonnes per year.