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voda 20 december 2016 16:57

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KSEW cuts steel for fourth Azmat-class fast attack craft

Karachi Shipyard & Engineering Works conducted the steel-cutting ceremony of the Pakistan Navy’s fourth Azmat-class fast attack craft on Thursday, 15 December 2016.

Last week, the Pakistan Maritime Security Agency also inducted two 600 tonne maritime patrol vessels, the PMSS Hingol and PMSS Basol. Four additional maritime patrol vessels, including two 1,500 tonne ships, are also expected.

The Pakistan Navy presently operates two Azmat-class FACs, the PNS Azmat and PNS Dehshat. The third Azmat-class FAC was launched by KSEW for sea trials in September of this year.

The four Azmat-class FACs were ordered from China Shipbuilding and Offshore Company in 2010, with three of the FACs to be built in Pakistan by KSEW. The FACs were ordered following a breakdown in efforts to procure four corvettes from Turkey in the late 2000s.

With a displacement of 560 tons, the Azmat FAC is armed with eight C-802 anti-ship missiles each missile providing the Azmat an attack coverage of up to 180 km. The FAC is also armed with one 30 mm forward gun, two 12.7 mm machine guns, and a single AK-630 close-in-weapons-system for point defence coverage (against incoming AShM).

Source : Quwa

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voda 20 december 2016 16:57

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China to set up steel factory at Gwadar - Envoy

APP reported that acting Chinese Ambassador to Pakistan, Zhao Lijian said that his country would set up a large steel factory at Gwadar to further expedite economic developments being carried out under China-Pakistan Economic Corridor framework.

Mr Zhao Lijian while addressing participants of a day-long conference on CPEC: Potential and Prospects organized by Strategic Vision Institute said that “Both China and Pakistan would very soon sign an agreement to establish the steel factory, three times bigger than the free economic zone being set up in Gwadar city.”

He said, industrial cooperation was the forth pillar of CPEC initiative and both the country would discuss it in the next meeting of Joint Cooperation Committee (JCC) of CPEC to be held in Beijing this month.

He added that “After completion of energy projects, transport infrastructure and development of Gwadar Port, industrial cooperation between China and Pakistan will be the main topic at the next JCC.”

Mr Zhao Lijian informed that China was working a lot for the development of Gwadar Port which was built with the Chinese government’s assistance.

He said, after completion, the port was handed over to Singapore but there was no improvement even after passage of five years.

Source : APP

voda 20 december 2016 16:58

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Industry Ministry vows to continue developing steel projects in Vietnam

VietNamNet Bridge reported that Vietnam Steel Association under the draft of the Planning Law submitted by the government to NA, the state would not manage business fields with development programs, but with laws such as the Enterprise Law, Investment Law or Environmental Protection Law. Therefore, the steel industry development strategy would only be referred to by enterprises before making investment decisions.

Mr Nguyen Thanh Son former senior executive of Vinacomin, the largest mining corporation said the steel industry development strategy should be drawn up only after NA approves the Planning Law. He said that “I think MOIT is too hasty when putting forward the steel industry development strategy by 2035 adding that if the management of the steel industry is implemented with laws as stipulated in the draft Planning Law, it will have no significance.”

As MOIT insists on developing steel projects, saying there will be a shortage of steel in the future, NA deputies say the ministry has to take responsibility for figures released in the steel industry development strategy.

Mr Son went on to say that he was surprised about the figures and the steel projects in the MOIT draft development strategy. The steel products MOIT plans to prioritize to develop are plentiful worldwide.

An analyst agreed that MOIT was focusing on products that are readily available in the world but that it ‘forgot’ to name the types of alloys Vietnam needs and cannot produce domestically.

He said that “It is necessary to calculate the steel production cost in Vietnam. If the cost is higher than the average cost in the world, Vietnam would be better to import steel instead of making steel domestically.” He explained that “Vietnam will suffer if it continues trying to make products which are abundant in the world and have low prices.”

Despite public doubts about the importance of the Ca Na steel complex, MOIT still has included the project on the list of projects to be developed.

Mr Luu Binh Nhuong, a NA deputy from Ben Tre province, asked whether the Minister of Industry and Trade Tran Tuan Anh would resign from his post if the steel project causes serious environmental consequences.

Mr Bui Thi An an NA deputy, while warning that inaccurate forecasting will lead to immeasurable consequences, proposed that MOIT clarify the basis of the forecasts in the steel industry development strategy and show that the figures are accurate.

Source : VietNamNet Bridge

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voda 20 december 2016 16:59

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PC rebuffs impression of PSM’s privatisation in 3 months

Nation PK reported that Pakistan government is working to formalise the transaction structure of the Pakistan Steel Mills which is not operational from last one and half year due to number of issues.

An official handout released by the Privatisation Commission on Thursday said that “Currently the transaction structure is being formalised by the financial advisers for this transaction. Hence, the impression of its privatisation in three months is wrong.”

Minister of State Muhammad Zubair last month informed a parliamentary committee that the government wants to revive the loss-making PSM by giving it to Chinese or Iranian investors on lease.

The PSM is closed from last one and half year and the federal government is paying salaries to the workers of the mill. The losses and liabilities of the Pakistan Steel Mills are more than PKR 300 billion. With regard to the issue of land valuator, the Privatisation Commission had hired the services of Iqbal A Nanjee, an approved valuator of the State Bank of Pakistan, for conducting the valuation of the PSM assets. The report submitted by IAN clearly reflects that the value of PSM land ranges from PKR 13 million/acre for undeveloped land to a maximum of PKR 30 million/acre for fully developed land.

Source : The Nation

voda 20 december 2016 17:00

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AISI update on raw steel production in US in Week 50

In the week ending on December 17, 2016, domestic raw steel production was 1,694,000 net tons while the capability utilization rate was 71.4 percent.

Source : Strategic Research Institute

voda 20 december 2016 17:01

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4 die from falling steel panels in Shanghai

Shanghai Daily reported that four men working in a steel store in Putuo District, Shanghai, were killed when panels fell on them yesterday morning, according to the district government. The four were confirmed dead at the scene.

The men were arranging steel panels at Shanghai Zhongxin Stainless Steel Store when the panels tilted to one side and fell on them, and they were allegedly killed due to “suffocation,” the police said, adding that the owner of the store was being questioned.

An employee of the store, who was absent when the incident happened, said there were seven or eight people inside the store and that they are relatives of the boss. He said in the store’s six years of existence, nothing like this had happened before.

Source : Shanghai Daily

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voda 20 december 2016 17:02

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Bring HS2 steel to Scunthorpe - Telegraph petition

Scunthorpe Telegraph reported that the minister for the Northern Powerhouse has insisted that the government has made a level playing field for UK steel to compete for infrastructure contracts.

Mr Andrew Percy, MP for Brigg and Goole and minister for the Northern Powerhouse, has said that the government has procurement guidance that puts British-made-steel first when it comes to competing for the HS2 contract.

The comments come after the Scunthorpe Telegraph launched a campaign to ensure that the government hands the contract for High Speed Rail Two to the Scunthorpe steelworks.

Mr Percy said that "This government has made changes though to the way in which this process works, ensuring a level playing field for British-made steel when bidding for contracts here in the UK.” He added that "These changes mean that during public procurement, consideration must be given to the social and economic impact of the steel which is sourced across all major projects, including on HS2; where over two million tonnes of steel will be needed, and these contracts must, for the first time."

The new procurement process was put in place following the crisis at Port Talbot steelworks.

Mr Sajid Javid, who was then the Business Secretary, published the measures in back in April. However, the measures are only guidance and do not guarantee that the contract will be handed to Scunthorpe.

Mr Percy links the lack of a guarantee to the European Union rules on procurement. He said that "The process has to be fully open currently, and we cannot guarantee a contract to a UK steel producer, due to these EU state aid rules. We have many very high-skilled workers in this industry locally and this has been reflected in the contracts that they have already been able to secure. We need to continue to support local workers and these state aid rules are yet another reason why I am pleased that we are going to leave the European Union."

Despite the lack of a guarantee, it is in the Government's hands to ensure the contract for HS2 is handed to Scunthorpe.

Our campaign has received hundreds of supportive comments, including from Sandra Crabb, of Cloister Close, Scunthorpe, who used was employed on the works.

She said that "I used to work in the plate mills, in fact most of my family did. We should support British Steel and the government needs to listen."

Source : Scunthorpe Telegraph

voda 20 december 2016 17:04

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Two Da Nang steel plants told to close in Vietnam on pollution issues

Vietnam news reported that VIetnma central city’s People’s Committee has asked two joint-stock steel companies Dana Y and Dana Uc to stop production of two factories in Lien Chieu and Hoa Vang districts, due to the serious pollution they continued to cause.

The announcement came from Mr Ho Ky Minh, the committee’s vice chairman, in a dialogue between the city, local residents and representatives of the two companies on Thursday. Mr Minh said the two companies would have to install air and dust filters, treat waste water treatment and halt illegal dumping near their factories.

He also asked the city’s natural resources and environment department set up a community-based supervision team, ensuring local residents and experts check the steel factories regularly.

Mr Mai Xuan Th? a local representative from Hòa Vang District’s Hoa Lien Commune, said the two steel companies which started operation in 2006 have discharged untreated fumes, dust and waste water into the environment.

Th? said that “The two plants situated near the residential area of the two villages for years have operated at maximum capacity from 10pm till next morning, emitting polluted air, dust and much noise.” He added that “The two steel plants also buried hundreds of slag in their backyards, and it polluted many residents living nearby.”

Mr Th? also asked the city’s agencies to investigate the steel companies’ solid waste dumping, and he requested the two companies stop polluted production and move away from living quarters.

Source : Vietnam News

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voda 20 december 2016 17:05

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Mexico government to expand import quota on CR steel from South Korea

Business Korea reported that Mexican government has decided to gradually expand its import quota on cold-rolled sheet steel from South Korea. Considering the fact that most of Mexico’s exports of cold-rolled sheet steel were materials used in the local plants, such as POSCO Mexico, which produces galvanized steel sheets, and Hyundai-Kia Motors plant, the latest decision will help local invested plants to stabilize their business.

The Korea Iron & Steel Association announced on December 18 that the Mexican government made a preliminary decision on December 16 to increase its import quota regarding cold-rolled steel sheets imported from South Korea by 40,000 tons in 2017 and by 60,000 tons in 2018. This measure is expected to contribute to the stabilization of the operation of the manufacturing facilities of South Korean companies in Mexico such as POSCO Mexico, Hyundai Motor Company and Kia Motors in that most of South Korea’s cold-rolled steel sheet exports to Mexico are used in those facilities.

According to the association, South Korea’s cold-rolled steel sheet exports to Mexico are estimated to increase from 530,000 tons to 565,500 tons between this year and next year and then to 590,000 tons in 2018 once the preliminary decision is fixed. The value of the exports is estimated to increase by US$22 million and US$30 million as well, respectively.

South Korean steelmakers are planning to work closely with the South Korean government so that the amount of additional imports can be further increased before the final determination scheduled for July next year. The Mexican government had launched an anti-dumping investigation on the item in July 2012 and stopped the investigation in December 2013 by putting a limit on five-year imports instead of imposing an anti-dumping tariff.

Source : Business Korea

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voda 20 december 2016 17:07

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Metinvest contributes to an increase in export of steel structures to Europe

Growth in export of Ukrainian steel structures to Europe was promoted by Metinvest Group enterprises producing goods with dual certification according to Ukrainian and European standards.

Source : Strategic Research Institute

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voda 20 december 2016 17:08

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Vietnam steel trade protection planned

Vietnam News reported that Vietnma ministry of industry and trade is planning to take trade protection measures against cheap and sub-standard steel products imported from abroad, in line with international trade rules.

In the draft planning of steel production to 2025, with a vision to 2035, which has been circulated for opinions, the ministry said it would build technical barriers to prevent the import of steel products the origins of which are not regulated in international commitments that Vi?t Nam has signed.

The planning’s purpose is to promote the sustainable development of the steel sector, ensure environmental protection and help protect Vietnamese steel makers from unfair competition.

According to Nguy?n V?n S?a, deputy chairman of the Vi?t Nam Steel Association, steel imports, especially cheap steel products from China, are still flooding the Vietnamese market, mostly in the forms of scrap steel or semi-finished products.

As of October, Vi?t Nam imported 15.8 million tonnes of steel and iron, worth USD 6.62 billion, of which Chinese steel and iron accounted for 60%.

Mr S?a said cheap Chinese steel was a threat not only to Vietnamese steel producers but also those in ASEAN countries and the world.

To prevent Chinese steel exporters from taking advantages of the loophole in Vietnamese laws to evade taxes, authorities must set clear standards of steel import products.

He gave an example that by adding a few other metal elements, Chinese makers can easily turn pure steel into alloy steel to enjoy 0 per cent import tax.

Source : Vietnam News

voda 20 december 2016 17:08

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JSPL to spend INR 8000 crores in expanding Angul plant capacity - Report

Business Standard reported that Jindal Steel and Power Ltd has lined up INR 8,000-crore additional investment for its Odisha operations. The money will be spend on addition of a blast furnace to take its Angul steel plant capacity to 6 million tonne, setting up of a cement plant, laying of slurry pipeline to carry iron ore from mines to steel plant and setting up of a pellet plant.

At present, JSPL has a two million tonne steel making facility at Angul through sponge iron route. To produce sponge iron, the company had set up a DRI plant based on coal gasification technology, the first of its kind in the country, that aimed to use locally available high ash coal for direct reduction of iron. It has already invested more than Rs 30,000 crore on the project.

In fact, the company proposed to produce six million tonne steel at the location based on this coal gasification technology imported from Lurgi, South Africa. However, the cancellation of Utkal 1B block allotted to the company following de-allocation of coal blocks by the Supreme Court in 2014, has forced it to go for process reengineering to achieve the intended 6-million tonne steel capacity.

Instead of sponge iron route, it has decided to go for blast furnace route to scale up steel capacity to 6 million tonne. For the purpose it is putting up a 4,554 cu mtr blast furnace, claimed to be largest in the country with a capacity to produce 11,000 tonne of steel per day.

The blast furnace is expected to be ready for commissioning by the end of the current financial year. So also other associated facilities, such as coke oven to produce metallurgical coke and BoF (basic oxygen furnace) plants, the work on which are in progress. The capacity of steel melting shop is also being enhanced with addition of a furnace of 3 million tonne capacity.

The total expenditure incurred on the all these new components required to raise the steel-making capacity at Angul from 2 million tonne to 6 million tonne is estimated at about Rs 6,000 crore.

Besides, the company also intends to lay a pipeline from the point of sourcing iron ore at Barbil in Keonjhar district to its Angul plant at a cost of Rs 800 crore. This will reduce the ore transportation cost substantially from Rs 800 per tonne to about Rs 200 per tonne, said Damodar Mittal, executive vice president, projects.

Taking advantage of this cheaper mode of ore transport, the company plans to set up a 4-million tonne per annum pellet plant at Angul with an investment of Rs 1000 crore. The pellet plant can feed the existing DRI plant at the location and cut cost towards transportation of pellet from the company’s Barbil plant to Angul, a distance of 280 Kms.

Similarly, using the slag produced from the blast furnace, the company proposes to set up a cement plant close to its steel mill for which an expenditure of Rs 200 crore has been earmarked.

Source : Business Standard

voda 20 december 2016 17:09

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Mr Cyrus Mistry resigns from 6 listed Tata companies

Business Today reported that after a bitter eight-week boardroom battle against Ratan Tata's "illegal coup", ousted Tata Group Chairman Cyrus P Mistry has quit from the boards of six listed companies including Tata Steel.

In a two-page statement and a recorded video message, Mistry, who was unceremoniously removed as Chairman of Tata Sons on October 24, said the objective of effective reform and best interests of employees, shareholders and other stakeholders of the Tata Group "would be better served by moving away from the forum of the extraordinary general meetings".

While Mistry, 48, did not specifically say he was resigning from either Tata Sons, where he still continues as a director despite being removed as chairman, or from the operating firms, sources close to him said he has quit.

Source : Business Today

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voda 20 december 2016 17:10

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Techint plans to take Usiminas battle to higher court - Report

Reuters, citing a source close to the matter, reported that Techint Group may take their boardroom battle at Brazilian steelmaker Usinas Siderurgicas de Minas Gerais SA to higher courts in Brazil next year if recent appeals to regional courts are not accepted. The source said “Techint is preparing to file a lawsuit to the highest appeals court in the country, challenging a state court's October decision in favor of Nippon Steel & Sumitomo Metal Corp.”

That ruling annulled the appointment of Sergio Leite, backed by Techint, to become chief executive officer of Usiminas , as the company is known, and reinstated former CEO Romel Erwin de Souza, backed by Nippon Steel.

Techint and Nippon Steel have been battling for two years over control of the Brazilian steelmaker, as it struggles with a deep recession, cheap imports and rising debt.

The company avoided filing for bankruptcy protection when it refinanced 6 billion reais ($1.8 billion) in debt with Brazil's biggest banks in September.

Techint has appealed the latest court decision through its subsidiary Ternium SA, along with Usiminas chairman Elias Brito and two other board members it had appointed.

On Dec. 13, the board members appointed by Techint sent a letter to securities industry watchdog CVM with questions that may be used in litigation. The letter was also signed by two board members appointed by minority shareholders and employees.

Source : Reuters

voda 20 december 2016 17:12

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SAIL in talks with Nippon Steel and Kobe for tie ups

Reuters reported that Steel Authority of India is in talks with Japan's Nippon Steel & Sumitomo Metal Corp and Kobe Steel for potential technical agreements to help the firm expand its global footprint, SAIL's chairman told Reuters.

SAIL which has been in the red for six quarters may also consider buying troubled domestic steel firm assets if offered a "cheaper price", Mr Prakash Kumar Singh said in his first official response to a government proposal that state steel, power and shipping firms take over assets of indebted private companies.

India's biggest state-owned steel producer has already held an initial round of talks with Japan's top steelmakers, Singh said, adding that the steel produced through the tie-ups could be sold to India's defence sector.

Mr Singh said that "The defence sector is using a lot of steel. So for all those grades, there is continuous improvement in R&D. And for penetrating these markets also Japan and Europe we need to understand their technologies, their uses. Therefore these tie-ups will be handy.”

SAIL already supplies steel to the Indian navy and army, primarily for battle tanks.

Separately, the Indian company is in talks with two European steelmakers for similar partnerships, Mr Singh said, without giving any specifics as the discussions were in initial stages.

Mr Singh said that SAIL is also ironing out details with the world's biggest steel producer, ArcelorMittal, for a proposed 60 billion rupees ($884.36 million) joint venture. He added that "It will be difficult to give a time frame. But we are quite confident that we can sort it out."

Mr Singh said that SAIL plans to raise output of saleable steel in the year starting April 2017 by about 10% to 16.5 million tonnes. It is aiming for a 10% jump in 2017/18 exports, versus an estimated 700,000 tonnes shipped this year.

Source : Reuters

voda 21 december 2016 17:07

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Arbiter to decide on laid-off USW workers pay

NWI Times reported that a third party arbiter held a hearing last week on a grievance the United Steelworkers filed against US Steel for laying off about 75 maintenance workers at Gary Works this summer.

After union protests, Pittsburgh-based US Steel has since recalled all the laid-off workers at the mill on the Gary lakefront.

The USW originally filed the grievance while the workers were still laid off this summer, but is continuing to pursue its case to restore lost pay, USW District 7 Director Mike Millsap said.

US Steel spokeswoman Erin DiPietro declined to comment. The steelmaker has not commented at all on the layoffs or the grievance.

The union is arguing that the new three-year contract, approved by steelworkers with a three-to-one margin in February, wouldn’t let US Steel lay maintenance workers off without at least first consulting with the union. Millsap hopes for confirmation that the company was out of line and to recover wages the workers weren't paid when they were laid off.

The hearing last week was the second on the layoffs. The USW, US Steel and the third-party arbiter had to reconvene after a first hearing earlier in the fall because the union’s case ran long. Millsap said a decision is expected within a few weeks.

The USW additionally filed a separate grievance over 230 maintenance workers at Gary Works who were placed into roving labor gangs, a demotion that cut their pay by at least USD 3 an hour. No hearing is yet set on that case.

The union vehemently protested cutbacks recommended by the consulting group McKinsey & Co earlier this year, saying they endangered steelworkers at Gary Works. USW members said the cuts kept preventative maintenance from getting done, forced labor gangs into areas of the mill they were unfamiliar with, and rushed workers to the point where safety precautions weren’t taken.

Workers said they had been trying to warn the company about safety before the deaths of steelworkers Jonathon Arrizola and Charles Kremke in accidents at Gary Works earlier this year.

Source : NWI Times

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voda 21 december 2016 17:08

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Nippon Steel & Sumitomo Metal and Nisshin Steelshedding problematic assets ahead of buyout

Nikkei reported that Nippon Steel & Sumitomo Metal and Nisshin Steel are transferring trade rights for certain operations to competitors, it was learned Monday, aiming to smooth the way for the former's acquisition of the latter.

Antitrust watchdogs abroad have already cleared the takeover. Nippon Steel hopes to conduct a tender offer for Nisshin this coming February and turn the company into a subsidiary. Japan's Fair Trade Commission is expected to grant provisional approval before the end of the month.

After announcing its bid for Nisshin this past February, Nippon Steel applied to the FTC for antitrust review. The commission determined that the two companies control too much market share in stainless steel sheet and in other sheet products coated with alloys combining zinc, aluminum and magnesium. It asked the duo to resolve the issues before moving forward with the deal.

Nisshin sells the product under the ZAM brand, while Nippon Steel offers the SuperDyma catalog.

Nippon Steel and Nisshin have agreed to transfer commercial rights for the ZAM brand, with Kobe Steel seen as the potential new holder. Nippon Steel plans to maintain SuperDyma, positioned as a global brand, as an earnings source and safeguard the proprietary anti-corrosion technology.

Before merging with Sumitomo Metal, the old Nippon Steel tried to consolidate stainless steel operations with those of Nisshin back in 2009. The plans were abandoned at the end of 2010 over resistance from the FTC.

Nippon Steel seeks to lift its 8.3% equity stake in Nisshin to 51%. Simple arithmetic shows the bid likely costing some JPY 76 billion (USD 651 million). Nisshin would remain listed, and the duo would reorganize and cut costs to compete in an international business environment that has grown less forgiving.

Source : Nikkei

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voda 21 december 2016 17:10

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SAIL expects higher sales on rising output

IB Times reported that state run Steel Authority of India Ltd is hopeful of improving its sales to 14 million tonne this year, up around 10% over last year, on the back of higher productions.

In an interview with CNBC TV18, Mr PK Singh chairman of the steel major said the company is also planning to double its exports this year and aiming to take it to 10 percent of overall production in coming years. He said that "Our sales used to be around 12-13 million tonne. This year, we will cross 14 million tonne of sales.”

Mr Singh added that the company will see a quantum jump in production as well as in sales in subsequent years.

Source : IB Times

voda 21 december 2016 17:11

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EU sets import duties on steel bars from Belarus

Reuters reported that European Union will set duties on imports of concrete reinforcement rods and bars from Belarus to counter what it considers are excessively cheap prices. EU's official journal said that the bloc will impose duties of 12.5 percent from Wednesday on rebar from the BMZ Byelorussian Steel Works and any other producers in the country.

The European Commission launched an investigation in March following a complaint by the European Steel Association.

It has now decided provisional duties are appropriate for Belarus to prevent damage to the industry. The investigation will continue for a further six months. Definitive duties, which would normally be in place for five years, would have to be set by June 20.

The EU's official journal said import volumes of the product from Belarus almost tripled from 2012 to 2015, reaching 5% of the EU market, as prices fell by some 25%. Imports in 2015 were worth around 180 million euros (USD 187 million).

Source : Reuters

voda 21 december 2016 17:14

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Tokyo Steel raises January product prices by upto 9% on overseas rally

Reuters reported that Tokyo Steel Manufacturing Co Ltd would raise the prices of its products for a second month in a row, reflecting higher international steel prices and rising raw materials prices.

Tokyo Steel Manufacturing said that product prices will rise by about 5% to 9% for January delivery, marking the first time in three years that it has raised its prices for two consecutive months.

Mr Kiyoshi Imamura managing director told reporters that the latest move would translate to price rises of about JPY 3,000 to JPY 5,000 (USD 25.50 to USD 42.60) a tonne due to firmer scrap metal prices and a series of price hikes by global steel mills to pass on surging coking coal prices.

Source : Reuters

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