Japan-based Nippon Steel Corporation has announced the execution of a definitive agreement to build a new electric arc furnace at AM/NS Calvert, a joint venture between Nippon Steel Corporation and ArcelorMittal located in Alabama in the US, with an investment of approximately $775 million.
The electric arc furnace is scheduled to start its operations in the first half of 2023 and will have a production capacity of 1.5 million mt of liquid steel.
The plant currently produces steel sheet products by processing slabs procured from domestic and overseas suppliers. With the newly-built electric arc furnace, Calvert will be able to self-manufacture part of the slabs it needs to produce its steel sheet products, to further strengthen its competitiveness by shortening lead time in slab procurement, improve its productivity and increase the domestic procurement ratio of slabs.
The company intends to concentrate its resources on AM/NS Calvert in Alabama and to further strengthen its supply capability of a full range of products including state-of-the-art steel products in North America, as SteelOrbis previously reported.