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U.S. Steel, Kobe Adding Galv Line in Ohio

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United States Steel Corp., Pittsburgh, and Japan’s Kobe Steel Ltd. will construct a new continuous galvanizing line at PRO-TEC Coating Company in Leipsic, Ohio. PRO-TEC is a joint venture operated by subsidiaries of the two steelmakers.

The new line is being constructed in response to increased demand for advanced high-strength steels. The line will have an annual capacity of approximately 500,000 tons, and will be capable of coating steel for the automakers trying to lightweight vehicles to meet new fuel-efficiency requirements. Construction of the $400 million investment will begin in the fourth quarter, and start-up on the new line is expected in 2019.

“This line will be the first of its kind and utilizes proprietary technology capable of producing the high-quality, cutting-edge advanced high-strength steels that will meet our automotive customers’ needs and solve some of their most pressing challenges. Our Generation 3 steels continue to reinforce why steel remains the lowest cost, strongest, safest and most environmentally efficient material of choice,” says U. S. Steel President and CEO David Burritt.

The new CGL line will allow PRO-TEC to produce Generation 3 steels with a hot-dipped zinc coating. Automakers can utilize these steels with their existing stamping and assembly methods to produce safe, strong and cost-effective structural components for vehicle bodies, further reinforcing steel’s position as the economical choice for quality-focused customers, the companies claim.