Usiminas, Brazilian major steel maker and Nippon Steel’s equity method affiliate company, plans to reinforce competitiveness of Ipatinga works. Usiminas tries to improve total productivity from upstream to downstream processes at the works while the firm increases production of high value added products such as upper-class high tensile steel sheet. Brazilian steel industry currently faces sales competition with direct and indirect import of steel products. Usiminas improves its product quality and cost competitiveness.
Ipatinga works introduced an accelerated cooling facility in 2010. The works plan to start production of 100 kilogram class high tensile steel plate in addition to conventional 60kg class, utilizing the facility. Unigal, a galvanizing steel sheet joint venture between Usiminas and Nippon Steel, started commercial operation of no.2 continuous galvanizing line in May 2011 with output capacity at 550,000 tonnes per year. Unigal will start processing of 100kg class high tensile steels in addition to conventional 80kg class. Nippon Steel has 30% controlling shares in Unigal.