Month: September 2016

Tung Ho Steel orders a new EWR/K-WELDING unit from Danieli

In order to increase the productivity on its Taoyuan bar mill, Tung Ho will install a new K-WELDING line to perform endless welding rolling.
The order for the new line was awarded in August 2016, with startup expected to take place in autumn 2017. With this plant upgrade Tung Ho will be the “first in the country” to operate in endless rolling mode on Rolling Mill #1, which has an average capacity of approximately 600,000 tpy in rebar products starting from 150-mm-square, 12-m-long billets.

Installed at the delivery side of the re-heating furnace, the K-WELDING is an in-line automatic continuous welding system for billets ensuring uninterrupted production of long products.

The process substantially increases productivity, material yield and plant efficiency, while reducing production costs and maintaining homogeneous material quality throughout the whole endlessly-rolled stock.
Danieli’s Endless Rolling of billets features advanced Danieli Automation Level 2 controls, models and setup. The EWR process also constitutes the necessary upgrade to shift production of rebar primarily toward compact coils that – especially in tonnages from 3.5 to 5 t – are recording consistent increases in market demand. In this regard, Danieli offers an unparalleled experience by combining the EWR process with the K-SPOOL, Danieli’s compact coil spooling technology.

The K-WELDINGsystem to be supplied at Taoyuan is the fourth generation of Danieli welding machines since 1997. It will be the first to operate along with an induction furnace.

Tung Ho Steel is one of the most important structural steel producers in Taiwan. Originally known as “Tung Ho Hardware” it began with ship dismantling and selling steel, and in early 1962 it became the first H-beam producer in Taiwan.

Source: Danieli Group

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MEPS – THE NORTH AMERICAN STEEL PRICE RECOVERY IS BROUGHT TO A HALT

The recent North American steel price recovery has proved short-lived as regional values continued their downward trajectory, this month.

From MEPS research, in September, one US market participant warned steel buyers to “hang onto their hats”. He predicted that US flat product steel prices could fall as quickly as they rose in the first half of the year.

The US steel industry is heavily dependent on the automotive sector. This month, US steel buyers remarked that auto sales have slowed down. Construction activity is at a relatively low level, while the energy sector is unlikely to recover until 2018 at the earliest.

The sustainability of the recent price rises, in the US, hinged upon supply-side considerations. The introduction of import barriers on a number of flat products initially supported the domestic producers.

However, steel imports, into the US, are steadily rising, month-by-month, from countries not covered by the trade cases. The restrictions are unlikely to be strong enough to reverse the negative price tendency that exists currently.

Furthermore, US crude steel production is well below capacity. The re-introduction of ArcelorMittal’s No 3 blast furnace at Indiana Harbour and the ramp up of the Big River facility, in Arkansas, will bring additional supply into the domestic market.

Source: MEPS International Steel Review – September 2016 Issue

TAT METAL orders a full CMI technologies Continuous Hot-Dip Galvanizing Line (CGL)

After having doubled their overall rolling, tempering and pickling capacity since 2011, Tat Metal, one of Turkey’s leading flat steel producers, has chosen CMI, with headquarters in Belgium, to supply their new, state-of-the-art hot-dip galvanizing line. The new line will allow the customer to increase its galvanizing capacity, in order to cater for a growing domestic steel market, but also to allow for increased exports to neighboring countries and Europe. The produced hot-dip galvanized steel is destined to be used to manufacture roll-formed shapes, steel structures for construction and components for automotive and “white goods”.

In order to support Tat Metal in its capacity expansion plans, CMI will supply a line, designed to galvanize 400,000 tons per year of steel strip, that will be installed in the customer’s steel works in Ere?li, Turkey. CMI will be in charge of the complete design of the line, the manufacture of some of the core machines, the supervision during erection and commissioning, as well as the coordination of all key subcontractors. Additionally the scope of supply includes some of the major components of the electrical and automation systems.

The line, aiming at a high level of operating efficiency and eco-friendliness, features all essential, high-quality core process technologies designed by CMI: Cleaning section, Vertical annealing furnace (incl. CMI’s L-Top math model and Blowstab®  jet cooling system), Air-Knife system and Zinc bath equipment, APC Blowstab® low vibration cooling system, Inline skin pass mill and Tension leveler, Chemical roll-coat post treatment, Exit shear.

But it also incorporates a number of innovative features. As such CMI’s vertical annealing furnace provides recuperative low NOx burners, and the patented Blowstab® jet cooling system. Furthermore, CMI’s high-quality air-knife system will provide next to the patented Blowstab® low vibration cooling system, modern features such as a closed loop pressure system, an automatic lip cleaner and no-touch edge baffles. All of these features will allow the CMI air knife to achieve high-quality surfaces, while keeping zinc consumption low, and have convinced the customer to additionally order the upgrade of its existing Galvanizing line number 1 with the CMI air-knife system and zinc bath equipment.

The line will be designed for strips in thicknesses ranging between 0.25 and 3.00 millimeters and widths of up to 1,300 millimeters. The strip will be galvanized at a process speed of 200 m/min, while in the entry and exit sections speeds of up to 270 m/min will be attained.

The project is scheduled to be completed in a record-breaking time frame by the end of 2017.

Source: cmi Group

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DEVELOPING MARKETS STEEL PRICE ROUNDUP FROM MEPS

Brazilian distributors are only booking for immediate requirements due to continuing price fluctuations and weak economic fundamentals. The conservative purchasing strategy is expected to continue for the foreseeable future.

Russian distributors remain bearish over the outlook for domestic finished steel consumption in the October-November period. End-user groups are purchasing material for immediate needs only. Meanwhile, long product steelmakers postponed releasing their basis quotations for the next trading period.

Indian steelmakers are optimistic that trading volumes will improve in the near term, supported by state-funded infrastructure projects and a series of trade protection measures – such as, new minimum import price mandates and provisional safeguard duties. Moreover, business confidence picked up, coinciding with the imminent end of the monsoon season.

The Ukrainian steel industry has struggled to adapt to the muted domestic trading environment. Local stockists report that the settlement of payments from customers remains a problem.

Turkish steel producers are divided over the prospects for domestic steel consumption in the final trimester of 2016. Flat product traders contend that the latest price initiative undertaken by local steelmakers is ill-timed, counterproductive and will only escalate import tonnages from Russia and Ukraine.

Business confidence remains downbeat in the United Arab Emirates. Local trading houses are reluctant to replenish their inventories. They are uncertain about whether industrial activity and construction work will improve in October.

The trading environment remains challenging in South Africa. Steel manufacturers are reluctant to increase production capacity in the absence of sustainable end-user demand.

The outlook for the Mexican steel market is unchanged. Local stockists plan to persevere with conservative bookings, in anticipation of price concessions from domestic suppliers.

Source: MEPS – Developing Markets Steel Review – September Edition

Primetals Technologies supplies ERT-EBROS billet welding system for Yongfeng Steel bar rolling mill

  • Welded billets permit endless rolling with high product quality
  • 3-6% boost in plant output and utilization levels
  • First use of ERT-EBROS in China
  • System will pay for itself within 18 months

Chinese steel producer Shandong Laigang Yongfeng Steel Corp. (Yongfeng Steel) has placed an order with Primetals Technologies to supply ERT-EBROS endless rolling technology for the company’s existing bar rolling mill in Qihe, Shandong province. The aim is to boost plant output and utilization levels by three to six percent. The system welds together billets intended for rolling, thus enabling a continuous rolling process with a consistently high product quality. The new ERT-EBROS plant is scheduled to commence operation in the second quarter of 2017 and will pay for itself within 18 months. It is the first system of its kind in China.

Yongfeng Steel is a subsidiary of Yongfeng Group Co., Ltd. and is one of the most important steel producers in Shandong province. Its principal products are ribbed steel and wire rod. In 2015, the company produced around four million metric tons of crude iron and steel products. Yongfeng Steel’s bar rolling mill has an annual production capacity of 1.2 million metric tons of steel rods. It processes billets with a square cross-section of 150×150 millimeters and produces reinforcement steel with diameters between 12 and 50 millimeters from low carbon and low alloy steel grades.

Primetals Technologies is responsible for project engineering and also assembly and commissioning supervision of the new equipment, and will be supplying the ERT-EBROS billet welding system, including a deburring station and equipment such as a roller table and a shear. The scope of supply also includes the fluid systems, the electrical equipment and automation system and also technology packages for control of welding.

The ERT-EBROS system welds consecutive billets together so that, once joined in this way, they can be processed in an endless rolling process. This increases output, cutting the time otherwise taken by two billets between rolling. Utilization of cooling bed capacity can be enhanced and production of customized coil weights is also possible. ERT-EBROS is installed between the reheating furnace and the first roll stand and uses a flash welding process with fast and intensive heating. This results in solid-state joining of the billets without the need for additional filler metal. A dynamic flash control system helps to control all the process parameters in real time and thus ensures high joint quality as well as reduced energy consumption and material loss.

After welding and head upsetting, joints are deburred on a self-cleaning deburring station. The deburring machine operates independently of the welding unit and so the cycle time is not increased. Active spatter protection protects the mechanical and electrical equipment from steel spatters. This is crucial for process quality, extends components’ useful lives and facilitates maintenance. The core of the electrical system is the integrated high-frequency transformers. These compact components are extremely reliable and can perform an indefinite number of welding operations without maintenance. Each transformer is equipped with diodes that convert the high-frequency square-wave voltage into a stable, extremely flat DC voltage. The square-wave voltage is generated by converters with which the current can be controlled ten times faster than with thyristor circuits. A stable voltage and short control times are essential for a stable and repeatable process flow.

EBROS is a registered trademark of Steel Plantech Co.

ERT-EBROS is a registered trademark of Primetals Technologies in some countries.

Source: Primetals Technologies

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NORDIC STEEL MARKET ROUNDUP FROM MEPS

According to MEPS, demand for hot rolled coil is steady across the Nordic region. Total sales tonnages in 2016, so far, exceed those in the same period last year.

Hot rolled plate prices are stable, at present. Buyers do not foresee substantial increases before the end of this year. In Sweden, demand from the commercial vehicle and building sectors is strong.

Regional producers’ strong order loads are putting upward pressure on cold rolled coil selling figures. Buyers believe that they will have to concede some part of the mills’ proposed price increase.

Galvanised coil sellers report continued good sales to the automotive supply chain. Supply is limited, in Europe, due to earlier mill outages. Chinese material is available but some buyers are cautious regarding its quality.

Excess wire rod production capacity persists, in Europe. Order intake is quite slow. No dramatic change in market conditions is foreseen.

Demand for structural sections is strong from the construction sector. However, after steep increases during the second quarter, selling figures are now following raw material costs, on a downward trend.

Merchant bar transaction values continued on a downward trend and may yet have further to slide. Sluggish consumption and decreased input costs contributed to the fall in prices.

Source: European Steel Review Supplement – September Edition