ArcelorMittal Mexico will begin the expansion of its new hot strip mill at the end of the year to increase its production capacity.
The project will enable ArcelorMittal Mexico to produce 2.5mn mt of flat-rolled and long steel per year, Ricardo Limones, flat sales manager at ArcelorMittal Mexico said during a webinar titled “Steel in Mexico 2021: Challenges and opportunities” on Feb 23.
The hot strip mill expansion project is part of a $1bn investment, announced by the steelmaker in September 2017. The coils from the new hot strip mill will be supplied to domestic, non-auto, and general industry customers, Limones noted.
Steel prices in Mexico have increased over the past three months, Limones said without disclosing the price range but noted that prices may not fall later this year.
Mexican crude steel production decreased by 8.3pc to 16.8mn mt in 2020, from 18.3mn mt produced in 2019, according to the latest figures released by the World Steel Association.