Dongkuk Steel Accelerates High Grade Plate Production in Dangjin Works

Dongkuk Steel will start commercial production of thermo mechanical controlled plate (TMCP) and heat treated plate at the new plate mill in Dangjin, South Korea, in May. The firm increase high grade steel plates in competition with Chinese common grade products. The firm already started the production plate for shipbuilding. The firm plans to bring the production into the full at 120,000 tonnes per month in June. Dangjin works is expected to keep full operation in the second half of 2010 and reach the full output at 1.5 million tonnes per year in 2011.

Dangjin works is presently in test production of TMCP and heat treated plate with thechnical supports of JFE Steel. The firm started the new plate mill in November 2009 and acquired standards for shipbuilding in South Korea and Japan until March 2010. The first plate shipment for shipbuilding was to Daewoo Shipbuilding & Marine Engineering in March 2010.

Dangjin works’ production was approximately 30,000 tonnes in March, increasing from 20,000 tonnes in January-February. The works will enter full production at 1.5 million tonnes per year during the first 6 months of 2010. The annual output is expected to total 1 million tonnes in 2010.

Another plate mill of Pohang works produces plate for shipbuilding. The mill’s capacity is 2.9 million tonnes per year. The mill’s shipment accounts for 60% of all products for shipbuilding industry. Dangjin Steel produces higher grade plate compared with Pohang works.