US Steel to Seek More Value in US Market

US Steel’s chairman John Surma said the firm tires to expand higher valued products in strategic areas in US packaging, appliances, automobile and tube for higher market share.

Mr. Surma said to a reporter of Japan Metal Bulletin during World Steel Association’s annual conference in Beijing the firm tries to improve the presence in North American automobile market. He said the firm will develop high tensile automotive flat steel by utilizing relationship with Kobe Steel and automobile transplants from Japan, South Korea and Europe.

Mr. Surma said the firm will keep the top share in US packaging steel products through needed capital expenditure and technology development while the firm will utilize the advantage for cold rolled flat steel and coated steel in appliances market.

Mr. Surma said the firm realized higher synergy from acquisition of Lone Star Technologies more than expected. He said the firm tries to seek more value in tubing products along with further development for new grade pipe products.

Mr. Surma said US steel industry is improving but the demand is still very low level when the steel makers’ capacity utilization is around 50-55%. He expects the utilization would be around 55% in October-December under uncertainty for the market.