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STI jul aug COVER_Layout 1 7/10/12 3:19 PM Page 1 July/August 2012 – Vol.36 No.5 – www.steeltimesint.com NEWS LONG PRODUCTS STEEL PROCESSING INDIAN STEEL SUPPLEMENT STEEL TIMES INTERNATIONAL – July/August 2012 STEEL TIMES INTERNATIONAL – Vol.36 No.5 – Vol.36 Jul aug contents_Contents_STI_Mar10 7/11/12 3:18 PM Page 3 July/August 2012 Contents Vol.36/No.5 Front cover image July/August 2012 – Vol.36 No.5 – www.steeltimesint.com NEWS LONG PRODUCTS STEEL PROCESSING INDIAN STEEL SUPPLEMENT courtesy of Fives Bronx, world leader in long products straightening technology – SBQ installation located in the USA EDITORIAL Editor Tim Smith PhD, CEng, MIM Tel: +44 (0) 1737 855154 [email protected] Production Editor Annie Baker SALES International Sales Manager Indian steel supplement – Page 19 Long products – Page 43 Paul Rossage [email protected] Tel: +44 (0) 1737 855116 Area Sales Manager Anne Considine [email protected] Tel: +44 (0) 1737 855139 Sales Director Ken Clark [email protected] Tel: +44 (0) 1737 855117 Marketing Executive Annie O’Brien [email protected] Tel: +44 (0) 1737 855012 Advertisement Production Martin Lawrence [email protected] Steel processing – Page 49 Know your steel – Page 66 SUBSCRIPTION Elizabeth Barford Tel +44 (0) 1737 855028 Fax +44 (0) 1737 855033/034 Email [email protected] Steel Times International is published eight News times a year and is available on subscription. News – European steelmakers appeal to policy-makers for value chains 4 Annual subscription: UK £155.00 Other countries: £222.00 (US$342) (€269) Statistics & Events – May 2012 crude steel at 130.5Mt 8 2 years subscription: UK £279.00 USA Update – US politicians receptive to steel industry’s complaints in an election year 10 € Other countries: £399.60 (US$615.60) ( 484.20) Latin America Update – CAP – Change to ore as its core business 12 Single copy (inc postage): £35.00 Email: [email protected] China Update – China’s steel market generally cornered with industrial losses this year 14 India Update – Moderate growth of Indian steel in FY’12 16 Published by: Indian steel supplement Quartz Business Media Ltd, Quartz House, 20 Clarendon Road, India rising: Can India’s steel industry deliver on promise? A special report by Global Business Reports 19 Redhill, Surrey, RH1 1QX, England. Tel: +44 (0)1737 855000 Tough ride ahead for Indian iron ore miners 31 Fax: +44 (0)1737 855033/855034 Electric induction furnace steelmaking 33 www.steeltimesint.com Tata Steel’s accelerated hot strip mill shutdown 36 Steel Times International (USPS No: 020-958) is published monthly except Feb, May, July, Dec by Quartz Business Media Ltd and distributed in the US by DSW, 75 Aberdeen Long products Road, Emigsville, PA 17318-0437. Periodicals postage paid at Emigsville, PA. POSTMASTER send address changes to The experience of hot charging an Ecoplant minimill at Tung Ho Taiwan 39 Steel Times International c/o PO Box 437, Emigsville, PA Hot billet charging saves energy and improves mill productivity 43 17318-0437. Printed in England by: Pensord, Tram Road, Pontlanfraith, Blackwood, Gwent NP12 2YA, UK Steel processing ©Quartz Business Media Ltd 2012 Toll processing in USA sees an upturn 49 Improving the performance of strip guiding on the DCR at Bokaro Steel India 54 Others Scanmet IV – How the emphasis has changed from Scanmet I 58 Metallurgy-Litmash reflects massive investments in Russian steel 62 The Basics of iron and steelmaking Part 3 – Secondary steelmaking and continuous casting 66 History: Zinc from India – The protector of iron 72 ISSN 0143-7798 www.steeltimesint.com Steel Times International – July/August 2012 – 3 STI jul aug news_Layout 1 7/10/12 12:11 PM Page 1 News in Brief World News www.steeltimesint.com Taiwan signs MoU for EAF plant in India European steelmakers appeal to China Steel, the Taiwan’s largest steelmaker has signed a memoran- dum of understanding (MoU) with policy-makers for value chains the state government to set up an electric steelplant in Gujarat. On the occasion of the 2nd Europe by 2050’, which is looking and puts the credibility of the sys- The plant proposed to be build at European Steel Day, the European at a more comprehensive approach tem at stake; Dahej in the south of the state will steel industry appeals to European including the whole life cycle of – A set-aside will lead to a further cost around $178M to build. policy-makers to embrace a policy steel. distortion by the ETS within sec- Production is scheduled for 2014. framework that puts the competi- “Climate change targets for our tors. Some steelmakers will have tiveness of industrial value chains industry cannot be built just on no unused allowances from the Nucor acquires Skyline Steel LLC at the heart of decision making. visions. As long as breakthrough 2nd trading period when the 3rd US steelmaker Nucor Corp has com- President of the European Steel technologies are not available – period starts in 2013. These – hav- pleted the acquisition of Skyline Association (Eurofer) Wolfgang and this has a long way to go – ing had a high degree of capacity Steel LLC for approximately $605M. Eder said: “The European steel steel is not able to reduce further utilisation during the crisis – would Skyline Steel LLC is a steel distributor industry, together with other man- its direct emissions.” On the other be punished by an artificial serving the US, Canada, Mexico and ufacturing industries, was, is and hand, studies prove that innovative increase of the carbon price, and; the Caribbean. will always be the basis of Europe’s steel applications save more CO2 – A set-aside will lead to an Skyline has 21 sales offices and a economy and the prosperity of its in the EU than the entire EU steel increase in power prices and by robust infrastructure comprised of people. Breaking even one link in industry emits” said Mr Eder. this further jeopardizes the com- processing and fabrication facilities, these value chains endangers the Eurofer is concerned about the petitiveness of electricity intensive dozens of stocking locations, an chain as a whole. We need policy continued discussions on new, sectors such as electric arc fur- efficiently-coordinated supply chain, which will secure the conditions so more than ambitious unilateral cli- naces. and exclusive engineering support. that manufacturing chains with mate targets for EU industries in With regard to the economic Skyline’s flagship products include their thousands of highly innova- 2030, ‘40 and ’50, and on the set- outlook, Eurofer does not expect hot rolled and cold formed sheet tive, large, medium and small aside of allowances from the third steel market conditions to improve piles, H-piles and pipe piling. enterprises can further prosper in period of the emissions trading sys- before 2013. Moderate recovery in Europe.” tem in order to artificially increase real and apparent steel consump- Forgemasters expands as European countries with a the carbon price. tion probably results in some stock technology takes over strong industrial base and manu- “We strongly doubt that a set- replenishment. A creation of Sheffield Forgemasters facturing value chains are much aside is in line with EU legislation, Eder concluded: “But overall, ‘RD26 Ltd’ underpins landmark less affected by overall economic or has a valid legal basis”. industry requires a stable, support- developments, which have enabled troubles than others, he said. Eurofer is against a set-aside ive political and economic frame- the 200-year-old company to The current EU climate change because: work if it is to flourish. We need become a world-leader in the manu- policy clearly disadvantages the – the Emissions Trading Directive answers to the challenges facing facture of high-technology compo- industry against competitors out- makes it clear that its 21% GHG the Eurozone if we are to see con- nents for a diverse range of markets. side EU. reduction objective should be fidence return to the markets and The new company, SFIL’s seventh Eurofer is currently working on achieved in a cost-effective manner; Europe’s economy brought back subsidiary, frees up the Research a ‘Steel roadmap for a low carbon – It interferes in the market system on track.” and Development division to offer its services externally, a process which has already begun with enquiries and quoted work into new China’s steel sector growth slows markets, including civil nuclear proj- ects and the design of large-scale China’s crude steel output slowed Research Commission showed. lower than last year. Facilities over- pressure vessels to the US. in the first five months 2012 as According to the National hauls in steel companies such as demand dropped amid a cooling Bureau of Statistics (NBS), the Hebei Iron and Steel Corp, Wuhan VOD plant to voestalpine domestic economy. Crude steel country’s crude steel output in the Iron and Steel (Group) Corp, and Giesserei output increased by 2.2% year-on- first five months of this year Jiangsu Shagang Group Co in late The voestalpine Giesserei Linz year to 296.26Mt during the amounted to 295.23Mt, up nearly May led to a decline in the crude GmbH, part of the Steel Division of January- May period, down from 51% from 195.61Mt for the same steel output. the voestalpine corporation, has 8.5% growth during the same peri- period 2007. ordered a 50t vacuum oxygen od last year, data from the In May alone, crude steel output Source: China Metals decarburization (VOD) from Siemens National Development and rose 2.5% from a year earlier, 5.3% e-mail [email protected] VAI Metals Technologies. The plant will use mechanical vacuum pumps and the VOD will provide secondary metallurgical processing of cast 2011 Merchant HBI production up 30% steels for demanding applications in the energy industry and in the 2011 was a good year for the glob- Shadeed Iron & Steel in Oman, Non-members of IIMA pro- machine-building industry.