Nucor-JFE Steel Mexico Sheet Steel Plant Started Production

The facility has now commenced trial production. The full-scale production will be further to obtaining customer approvals.

SEATTLE (Scrap Monster): Nucor-JFE Steel Mexico, S. de R.L. de C.V. (Nucor-JFE) has commenced production at its continuous galvanizing line. The plant in Silao, Guanajuato in central Mexico will produce hot-dip galvanized sheet steel for automotive market, said Nucor press release.

The facility has now commenced trial production. The full-scale production will be further to obtaining customer approvals. The plant is estimated to have annual production capacity of around 400,000 tons per annum of variety of sheets having thickness from 0.4 mm to 2.6 mm and widths of 800 mm to 1,850 mm.

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Leon Topalian, President and CEO of Nucor noted that the company is excited to expand its presence in Mexico. The use of its local sales network will help in increased sales of its sheet products into the region’s growing automotive market. The experience of JFE Steel Corporation of Japan as a premier supplier of high-quality products to the automotive industry will deliver significant benefits to the company, he added.

The automotive market in Mexico is projected to continue its growth, especially with the new US-MCA treaty poised to increase the North American content in cars and trucks, in order to avoid tariffs imposed by the U.S. administration.