Gerdau Investing $70 Million at Monroe Mill
By Metal Center News Staff
on May 9, 2018
Gerdau Special Steel North America is embarking on another major investment project at its Monroe, Mich., mill. The company will spend an estimated $70.3 million on a new electric arc furnace transformer, controls and mechanical upgrades in the EAF, and a twin ladle furnace and material handling system.
The investment follows the 2015 completion of a $155.6 million investment in the facility.
“This project will upgrade our EAF and secondary refining technology and will be the final step to elevate the technological capability at Monroe to world class,” says Mark Marcucci, president of Gerdau Special Steel North America. “In addition, we will substantially improve our hot metal capacity, which will now fully optimize our previous investments.”
Recent corporate tax cuts, combined with support from the city of Monroe and state of Michigan, helped make the project possible, executives said.
The project will conclude the planned enhancements to Monroe and is expected to be finished in December 2020. Other upgrades to the mill included the installation of a new continuous caster in 2012, followed by a new twin-tank vacuum degasser, walking beam reheat furnace, six additional rolling mill stands, and a new finishing building with bar straightening and advanced quality inspection equipment in 2015.
The culmination of all these investments will increase Gerdau Monroe’s shipping capacity to 720,000 tons, a 180,000-ton increase from the current shipping capacity.
“Our further capital investments in the Monroe mill is a result of our confidence in the North American markets, as well as our continued commitment to support our customers,” says Gerdau CEO Gustavo Werneck.
Gerdau Special Steel North America produces special bar quality steel for the automotive, commercial vehicle, agricultural, construction, distribution and energy markets.