Gerdau, the largest steel producer in Brazil, this month reactivated the melt shop at the Mogi das Cruzes unit, in the interior of the state of São Paulo
This month, Gerdau reactivated the melt shop at the Mogi das Cruzes unit, in São Paulo. As described by the company, it is a “reflection of the positive prospects for the recovery of the automotive sector in Brazil”. The largest steel producer in Brazil points out that the unit's plant had been dormant since March 2019 and will operate with an annual capacity of around 180 tons of steel. Also see this news: To expand steel production capacity, Gerdau will invest US$ 500 million in a plant in the state of Minas Gerais
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The return of steel production at the unit in São Paulo
The restart of steel production activities at the plant in Mogi das Cruzes, in the state of São Paulo, is part of a cycle of "sustainable growth" by Gerdau, which foresees investments of approximately R$ 1 billion in the modernization and expansion of special steels in the country – including, in addition to the Mogi plant, the Pindamonhangaba production units – also in São Paulo, and in Charqueadas, in the state of Rio Grande do Sul.
Rubens Pereira, vice-president of Special Steel at Gerdau in Brazil, says that “We are optimistic with the resumption of steel consumption in the automotive sector in the domestic market, especially in the segment of heavy vehicles, and, therefore, we are preparing ourselves, for a new cycle of growth, seeking to generate more value for our customers. The reactivation of the Mogi das Cruzes melt shop is part of this cycle and aims to increase our productivity, meeting the growing demand, mainly in the automotive and machinery sectors”.
The executive also points out that for the region of Mogi das Cruzes, the reopening of the Gerdau melt shop also means more direct and indirect jobs, and we are pleased to be able to contribute to the economic and social development of the region.
Check out this news: Gerdau will invest R$ 6 billion to expand production in the state of Minas Gerais. Around 6 jobs will be created
Gerdau announced an investment plan of R$ 6 billion in the state of Minas Gerais over the next five years, for modernization, technological updating and expansion of its local operations. With this contribution, the largest steel producer company reinforces its commitment to the sustainable, economic and social development of the state and will generate more than 6 direct and indirect jobs.
Gerdau's investments will be divided into three axes: growth, technological updating and diversification, with the improvement of environmental practices as a transversal premise to the announced program. This is a plan that will cover all regions of Minas Gerais, where the company operates, benefiting dozens of municipalities, in steel production, mining, renewable energy production and the activity of planted forests.
Two important investments in expanding steel production will take place in Ouro Branco, in Minas Gerais, where the company has its main production plant. The unit will have the annual production capacity of hot rolled coils increased by 250 thousand tons/year, with the start of production scheduled for the beginning of 2024. In addition, Gerdau is expanding the production of structural profiles by 500 thousand tons/year, doubling the current capacity, and with the start of production projected for 2025. With this, Gerdau aims to continue serving the growing consumption of the consumer sectors of these products in Brazil and Latin America.
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