Dec. 17, 2014
Outokumpu Delays Restart of Calvert Line
Outokumpu has experienced technical problems on all three cold-rolling lines at the stainless mill in Calvert, Ala., that it acquired from ThyssenKrupp in 2012. Two lines are back in operation following repairs in August, but the 54-inch line, which has been offline since June, will not be up and running again until early 2015, the company reports.
Production problems at the mill have delayed customer deliveries and increased costs for the Finnish specialty steelmaker. Outokumpu estimates the cost of the issues at $42.5 million, which will be partly covered by insurance.
The market for stainless steel has been lackluster with volatile nickel prices and distributors pushing out orders to next year. While order intake for the start of 2015 remains healthy, the company claims, delivery volumes in the fourth quarter are lower than originally estimated.