In a conference with analysts about the company’s results in Q2 2024, Gustavo Werneck, the CEO of Gerdau, confirmed that the expansion of the HRC production capacity at the Ouro Branco plant will conclude by the end of the year.
Located in the southeastern state of Minas Gerais, the Ouro Branco plant will increase its HRC production capacity from 750,000 mt per year to 1.0 million mt per year. This will modify the current ratio of domestic sales, roughly two thirds of flat products, and one third of long products to 60 and 40 percent, respectively.
Werneck mentioned that the project relative to the set-up of a new steel plant in Mexico is in an advanced stage, adding that a final decision should be made by the end of the year.
According to Werneck, all the production suspensions or stoppages of Gerdau’s plants in Brazil were already concluded after the closure of the Barão de Cocais plant, the suspension of production at the Sete Lagoas, and the suspension of production at the Cearense plants.
“No chances for additional closures in Brazil,” he concluded.