) announced that it is investing around $15 million at its Vega
do Sul flat steel rolling mill in the state of Santa Catarina in
southern Brazil. The company will invest to produce high strength
steel, known as Usibor, which will be mainly used in the he
The plants' existing equipments will produce Usibor, a press
hardened boron steel with an aluminium-silicon coating. Usibor is
one of the major products of ArcelorMittal's S-in motion steel
solutions catalogue that offers more than 60 solutions.
The product helps to reduce the weight of the body-in-weight
by up to 20% compared to a reference C-segment car. The
manufacturers can create lighter, safer and more eco-friendly
vehicles by using Usibor. Usibor usage also allows the vehicles
to be made at reasonable costs. Production at the Vega do Sul is
expected to start in the second quarter of 2015.
Usibor is used primarily for the production of structural
parts including A-pillars, B-pillars, frontal and rear bumpers,
various types of rails, and the tunnel floor and is one of the
most resistant steels used in automotive applications with
strength of 1,500 MPa after hot-stamping.
ArcelorMittal's investment in the Brazilian facility is in
sync with the Inovar-Auto stimulus programme, which encourages
the automakers to invest in the Brazilian automotive industry and
also reaffirms the company's commitment to Brazil as a key
market. The company is working with the customers in Brazil to
resolve their technological and geographical challenges.
ArcelorMittal is a Zacks Rank #3 (Hold) stock.
Other companies in the steel and related industries with
favorable Zacks Rank are
AK Steel Holding Corp.
United States Steel Corp.
Worthington Industries, Inc.
). While AK Steel holds a Zacks Rank #1 (Strong Buy), United
States Steel and Worthington Industries retain a Zacks Rank #2
AK STEEL HLDG (AKS): Free Stock Analysis
ARCELOR MITTAL (MT): Free Stock Analysis
WORTHINGTON IND (WOR): Free Stock Analysis
UTD STATES STL (X): Free Stock Analysis
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