Steel Times International April 2020 by Quartz Business Media

ENVIRONMENT

SPECIAL STEELS

PLANT SAFETY

NEWS ROUND-UP

Articles from Indian steelmaker SAIL and Scandinavia’s Sandvik

Ovako’s collaboration with Nippon Steel and Sanyo Special Steel

The World Steel Association’s Andrew Purvis on Steel Safety Day

Three pages of the latest steel news from around the world

Since 1866

www.steeltimesint.com April 2020 - Vol.44 No3

ArcelorMittal Hamburg MIDREX® Plant: Leading the way to a Hydrogen Economy STEEL TIMES INTERNATIONAL – April 2020 – Vol.44 No3

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CONTENTS – APRIL 2020

ENVIRONMENT

SPECIAL STEELS

PLANT SAFETY

NEWS ROUND-UP

Articles from Indian steelmaker SAIL and Scandinavia’s Sandvik

Ovako’s collaboration with Nippon Steel and Sanyo Special Steel

The World Steel Association’s Andrew Purvis on Steel Safety Day

Three pages of the latest steel news and from around the world

Since 1866

www.steeltimesint.com April 2020 - Vol.44 No3

Front cover photo courtesy of Midrex

ArcelorMittal Hamburg MIDREX® Plant: Leading the way to a Hydrogen Economy

2 Leader By Matthew Moggridge, editor, Steel Times International

STEEL TIMES INTERNATIONAL – April 2020 – Vol.44 No3

4 News round-up The latest global news ELECTRIC STEELMAKING IN THE USA STI Cover 1 read MM.indd 1

02/04/2020 11:56:00

EDITORIAL Editor Matthew Moggridge Tel: +44 (0) 1737 855151 matthewmoggridge@quartzltd.com Consultant Editor Dr. Tim Smith PhD, CEng, MIM Production Editor Annie Baker Advertisement Production Martin Lawrence SALES International Sales Manager Paul Rossage paulrossage@quartzltd.com Tel: +44 (0) 1737 855116 Sales Director Ken Clark kenclark@quartzltd.com Tel: +44 (0) 1737 855117

8 Innovations The latest contracts and new products from international plant builders and suppliers 16 USA update The impact of Coronavirus 19 Latin America update Brazil Steel’s confidence index 22 Special steels New opportunities for special steel

Managing Director Tony Crinion tonycrinion@quartzltd.com Tel: +44 (0) 1737 855164 Chief Executive Officer Steve Diprose SUBSCRIPTION Elizabeth Barford Tel +44 (0) 1737 855028 Fax +44 (0) 1737 855034 Email subscriptions@quartzltd.com

26 Minimills Going viral? 30 Environment We build circularity, says Sandvik 33 Sustainability SAIL’s transition to low carbon emissions 39 Furnaces JSC Pervouralsk’s roller hearth continuous furnace 40 Plant safety Steel Safety Day 42 Perspectives Q&A: Ryder Solutions to any challenges 44 History The King’s gunfounder

Steel Times International is published eight times a year and is available on subscription. Annual subscription: UK £195.00 Other countries: £270.00 2 years subscription: UK £350.00 Other countries: £485.00 ) Single copy (inc postage): £45.00 Email: steel@quartzltd.com Published by: Quartz Business Media Ltd, Quartz House, 20 Clarendon Road, Redhill, Surrey, RH1 1QX, England. Tel: +44 (0)1737 855000 Fax: +44 (0)1737 855034 www.steeltimesint.com Steel Times International (USPS No: 020-958) is published monthly except Feb, May, July, Dec by Quartz Business Media Ltd and distributed in the US by DSW, 75 Aberdeen Road, Emigsville, PA 17318-0437. Periodicals postage paid at Emigsville, PA. POSTMASTER send address changes to Steel Times International c/o PO Box 437, Emigsville, PA 17318-0437. Printed in England by: Pensord, Tram Road, Pontlanfraith, Blackwood, Gwent NP12 2YA, UK ©Quartz Business Media Ltd 2020

ISSN0143-7798

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02/04/2020 14:46:55

LEADER

Troubling times for everybody

Matthew Moggridge Editor matthewmoggridge@quartzltd.com

I’m sitting at home, in my conservatory, writing my Leader for the April issue of Steel Times International. Traditionally, this issue is shipped to the USA to be a part of the incredible AISTech exposition and convention in the USA, which would have been in Cleveland, Ohio, next month, but it’s been postponed (until late August), just like many other events, including our very own Future Steel Forum, which has been rescheduled for 24-25 November. These are troubling times for everybody, all around the world, and the news changes by the second. Here in the UK we’re on virtual lockdown and it’s a similar picture the world over as people adapt to a new way of working and, indeed, living. We’re advised to keep our distance from others, queue two metres apart at the supermarket where, here in the UK, a ‘one in, one out’ policy is being observed; it’s all a bit strange. Who needs dystopian novels and movies? In Pennsylvania, steel is one of the few industries allowed to function. We ran a news story on 20 March stating that Democrat Governor Tom Fox had shut down all but ‘life essential’ businesses in the state, much to the dismay of Republicans.

Steel was deemed ‘life essential’. In fact, it’s weird, because when I approached two leading steel trade associations last month, the view on COVID-19 was that it wasn’t really affecting anything. EUROFER reported ‘no signiﬁcant impact’ while the AISI said domestic mills had not been adversely affected. Now, a month later, it’s a different story. This issue’s news pages are littered with news that steelmakers are feeling the pinch of the virus and the big problem, in a lot of cases, stems from the slowing down of the automotive industry, which, of course, is having a detrimental effect on steelmakers supplying the sector. GM, Ford, Fiat-Chrysler, Honda and Toyota, have all announced temporary production stoppages in North America, As a result, Austrian steelmaker voestalpine is shifting to short-time working, ArcelorMittal is reducing production at its European operations, ThyssenKrupp is initiating production cuts, POSCO and Hyundai Steel are closing plants in India and so it goes on. But make no mistake, while we all face serious challenges ahead, this virus business is temporary and the industry will bounce back, it always does. Keep safe.

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NEWS ROUND-UP

• ArcelorMittal’s dispute with the Italian government over the ﬁnancially-challenged Ilva steelworks in Taranto is over. The company had threatened to walk away from the plant, acquired in 2018, after a guarantee of legal immunity from prosecution concerning pollution levels and environmental shortcomings was scrapped. A new deal means that the Italian government will take an equity stake at least equal to that of the world’s biggest steelmaker. Source: NDTV.com, 17 March 2020.

• Tata Steel, India’s largest steelmaker, has initiated a twice-a-day sanitation of staff vehicles, has disabled biometric attendance and is asking pregnant women to work from home in an effort to reduce the spread of COVID-19. The company has set up a dedicated medical task force to assess the medical preparedness of Tata Steel hospitals in Jharkhand and Odisha where the company owns mines. Source: Moneycontrol.com, 17 March 2020.

• ArcelorMittal Kryvyi Rih in Ukraine is working with Yuriy Vilkul, mayor of Kryvyi Rih, a city in the Dnipropetrovsk Oblast region, to counteract the spread of COVID-19. The company will buy three artiﬁcial respirators for Kryvyi Rih medical facilities and convert its ‘Dzherelo’ sanatorium into an observational facility for people who might have the virus. Plans are in place to equipment six ambulances with equipment to safely transport potentially infected people. Source: MarketScreener.com, 19 March 2020. • Austrian steelmaker voestalpine has announced a short-time working model to help combat the challenges it faces from COVID-19. "As a result of massive reductions in capacity and current production shutdowns in the automotive, aerospace, mechanical engineering, and oil & natural gas industries, in just a few days demand from key voestalpine customer segments has collapsed," the company said, adding that in order meet the required level of ﬂexibility over the coming weeks and to secure jobs, short-time work is being registered in around 50 European Group companies (in Austria as well as in Germany, Belgium, and France). Source: steeltimesint.com, 25 March 2020.

• ArcelorMittal, the world’s biggest steelmaker, is taking steps to reduce production at its European operations in order to ensure the wellbeing of its employees and align production with demand. The announcement reﬂects the severity of the COVID-19 situation in Western Europe and the moves taken by the company are designed to protect its employees and prevent the spread of the infection. Source: ArcelorMittal, 19 March 2020.

• Production cuts are on the cards for German steelmaker ThyssenKrupp. The company is looking at shortened working hours to ﬁt in with reduced production in the automotive industry due to the COVID-19 (Coronavirus). The car industry is TK’s biggest customer group and the company wants to hold on to as many employees as it can. Source: Channel News Asia, 19 March 2020.

• Operations have been suspended at Hyundai Motor’s Alabama plant in the USA after one of its employees was infected with COVID-19. Other overseas plants face possible shutdown amid growing infection fears. Source: Yonhap News Agency, 19 March 2020.

• Hyundai Motor’s executive vice chairman Chung Euisun, has been named as chairman of South Korea’s biggest car manufacturer. The appointment is designed to strengthen the company’s ‘responsible management’ team amid growing uncertainties and tougher competition. The company claims it needs ‘strong and implacable’ leadership as the coronavirus impacts sales. Mr Euisun has quit his directorship of Hyundai Steel. Source: Yonhap News Agency, 19 March 2020. April 2020

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5 • With integrated steel mills in the USA accounting for more than half of automotive sheet production, it is likely they will be hardest hit by shutdowns of automotive plants. Companies like US Steel, Cleveland Cliffs and ArcelorMittal will be badly hit when compared with minimill operators, like Steel Dynamics, which don’t supply as much sheet to the auto sector. Automotive accounts for 25% of US steel demand and over 40% of sheet demand, according to Key Banc analyst Phil Gibbs. Source: Seeking Alpha.com, 18 March 2020.

• As steel demand falters because of the corona virus, China Steel Corporation, Taiwan’s leading steel producer, is to lower its domestic price list for all its major steel products destined to be sold in May. The company is to release some steel list prices on a monthly basis starting in April. Hotrolled coil, cold-rolled coil and hot-dipped galvanised coil are being trimmed by TWD 300/ tonne. Source: Mysteel Global, 20 March 2020.

• The world’s biggest steelmaker, ArcelorMittal, is to close two blast furnaces in France. One will close at Fos-sur-Mer and the other at Dunkirk. The former has two blast furnaces, the latter has three. Source: Argus, 19 March 2020. • The COVID-19 calamity has prompted big US-based carmakers GM, Ford and FiatChrysler, as well as Honda and Toyota, to announce temporary production stoppages in North America, something that, no doubt, will focus the minds of US steelmakers serving the automotive sector. Source S&P Global, 20 March 2020.

• ‘Socially responsible’ job cuts are the way forward for German steel giant ThyssenKrupp. The company has agreed a plan with the IG Metall trade union to shed 3,000 jobs and invest 4.2 billion Euros in its steel business by 2026. TK’s steel business is the second biggest in Europe in terms of sales and the aim of the job cuts and investment is to make TK competitive against rivals ArcelorMittal and Austrian steelmaker voestalpine. Source: Yahoo Finance, 25 March 2020.

• Russian steelmaker PAO Severstal has set into motion a number of measures designed to protect its employees from the COVID-19 virus. Measures include restrictions on foreign travel and a reduction of trips within Russia, temperature checking for employees as they arrive at work, remote working where possible, enhanced hygiene and cleaning measures and a suspension of all organised activities involving 20 or more people. Mandatory breathalyser tests have been discontinued. Source: Market Screener, 20 March 2020.

• ThyssenKrupp’s CEO Martina Merz will be in the job until 2023 and is being kept on to restructure the business. She was responsible for the sale of the company’s elevator business and is regarded as ‘the best conceivable solution for the company’ according to chairman Siegfried Russwurm. CFO Johannes Dietsch resigned at the end of March and will be replaced by Klaus Keysberg. Source: Channel News Asia, 20 March 2020.

• Despite the devastation caused by the COVID-19 virus, the Chinese have continued to make steel throughout the crisis, producing 154.7Mt of crude steel over the ﬁrst two months of 2020, up 3.1% on the same period last year. However, disruptions to transportation has meant a build-up of stocks due to weak domestic demand. Source: Hellenic Shipping News, 23 March 2020. April 2020

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NEWS ROUND-UP

• South Korea’s number one and two steelmakers – POSCO and Hyundai Steel – have both initiated plant closures in India because of the spread of COVID-19. POSCO has closed down two coil service centres in Delhi and Pune, and Hyundai has shutdown a service centre and steel pipe plant in Tamil Nadu, Southern India. Source: Yonhap News Agency, 23 March 2020.

• In India, Tata Steel is closing downstream standalone units in Maharashtra and Uttar Pradesh but maintaining operations at Jamshepur, Kaliganagar and Angul. The company’s consolidated crude steel capacity is 19.6Mt/yr. Meanwhile, ArcelorMittal/ Nippon Steel India is claiming that lower demand and curtailed logistics have impacted production. Plants operated by Jindal Steel & Power were still operational at the time of writing. Source: Business Standard.com, 23 March 2020.

• Concerns over COVID-19 have led to Brazilian steelmaker Gerdau SA postponing all capital expenditure initiatives, according to an online report from Reuters. Operations are being suspended in Peru and Argentina because of lockdowns and US operations are being adversely affected by the slowing down of the automotive industry. Source: Reuters, 24 March 2020.

South Korean steel giant POSCO is to close two coil service centres in Verona, Italy, because of COVID-19. The closures follow hot on the heels of announcements made last week regarding the shutting down of two coil service centres in Malaysia and Thailand and in Delhi and Pune in India. Source: Yonhap News Agency, 24 March 2020.

US Steel is to idle its seamless tubular operations in Lorain, Ohio, USA, because of market conditions, including oil pricing, imports, and demand and not because of COVID-19. The company expects there to be around 250 job losses. Source: The Chronicle, 23 March 2020. • Steel has been declared a 'life essential' industry in the state of Pennsylvania, USA, where almost all businesses have been shutdown. State troopers, local ofﬁcials, the state Health and Agriculture departments and the Liquour Control Board will enforce the situation Democrat governor Tom Wolf had said he would not use police for enforcement. The move, which was taken to the slow the spread of COVID-19, was roundly condemned by Republicans. Source: US News & World Report

• Russian steelmaker MMK is taking active measures to prevent the spread of the COVID-19 virus. Foreign business trips for employees have been suspended and trips within Russia are being restricted. The company is recommending that employees who have visited countries with active Coronavirus cases undergo a 14-day home quarantine with the option of working remotely. There are plans to decrease production volumes and undertake equipment repairs. Source: MMK, 25 March 2020.

• Due to circumstances surrounding the global problems created by the COVID-19 virus, the Future Steel Forum 2020 has pressed the reset button and rebooted itself to a new date in November (24-25). The conference will still take place at the Grandior Hotel, Prague, Czech Republic, and we're hoping to bring you a virtually unchanged programme. COVID-19 has effected all societies throughout the world and many conferences and exhibitions have been forced to either cancel or postpone. Fortunately, the Future Steel Forum has chosen the latter option and will still take place. Source: Future Steel Forum, 25 March 2020.

April 2020

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02/04/2020 10:02:21

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INNOVATIONS

Automated surface inspection for Arania SA

Spanish steelmaker Arania SA, a cold-rolled strip specialist, has taken delivery of an automated online surface inspection system from AMETEK Surface Vision. Arania SA is a leading manufacturer of coldrolled steel with high and low carbon content. It also offers high strength alloyed and micro-alloyed steel. According to Arania SA, the chief reason for implementing an automated inspection system was to provide quality assurance to its automotive customers. Nearly 70% of Arania’s steel production goes through the skin pass mill, which significantly increases surface smoothness, unifies thickness and improves mechanical properties. The surface inspection system was installed at this point. Asier Ibañez de Maeztu, Arania SA’s process engineer, said that the system has changed the company’s insights about steel inspection. “In only nine months we have been able to reduce the customers’ potential claims by 12%, which gave us a new standard in surface quality. Being able to find the root cause and investigate with visual data has also improved our processes and quality standards,” he said. For further information, log on to www.ameteksurfacevision.com

Pollution control products for liquid spills Workline is a comprehensive range of pollution control products and services from Brammer Buck & Hickman specifically developed to assist companies to prevent and cope with liquid spills and any resulting pollution. Brammer Buck & Hickman is part of Rubix, Eu-

rope’s largest supplier of industrial maintainence, repair and overhaul (MRO) products and services. Available exclusively through Brammer Buck & Hickman in the UK and Ireland, product highlights include absorbent pads, rolls, socks and cushions for maintenance, alongside oil and fuel and chemical applications supported with dispensers, stations, holders and containment products. Spill Kits are available from 10-20 litres capacity. According to Brammer Buck & Hickman, Workline customers will benefit from an immediate supply of “the highest performance and most cost-effective spill re-

sponse products in the marketplace”, all of which are manufactured to BS EN ISO, 9001:2015 quality standards and conform to BS 7959. Brammer Buck & Hickman will also provide BSIF-accredited courses presented by skilled, professional trainers with current, close experience in spill control with the objective of enhancing the awareness and skills of operatives. The courses are held at the customer’s site or at Brammer’s dedicated Leicestershire-based training centre and provide an awareness of the risks and threats and how to deal with emergencies. Andrew Egerton, head of category tools and general maintenance said that, Workline products have been developed to help customers meet their legal and moral obligations while contributing towards a cleaner, greener, environment.” For further information, visit www.bbh-rubix.com.

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INNOVATIONS

Atomised water mist dust suppression system US-based Brokk has unveiled its atomised water mist dust suppression system. The new system is designed to combat harmful silica dust and other airborne particles created by the demolition process and is available for all Brokk remote-controlled demolition robots and is said to offer an ideal solution to mitigate hazardous dust in demolition applications such as concrete cutting. “Safety has always been paramount for Brokk, which is why, for more than 40 years, our engineers have constantly produced machines, attachments and technologies that allow operators to step away from the most dangerous and backbreaking operations,” said Martin Krupicka, president and CEO of the Brokk Group. “However, silica dust remained a concern because it is difficult to contain. Previous dust suppression methods helped, but we wanted to find a more efficient solution that optimised safety without Port logistics company Ultramar is busy expanding export capacity at the Baltic Sea port of Ust-Luga, 100km west of St. Petersburg. The company is a first-time customer of Schade Lagertechnik GmbH and has ordered equipment for the outdoor stockyard of a new iron ore terminal. The order comprises a 2,500 tonnes/hr portal reclaimer with a rail span of 46 metres, a rotating 1,800 tonnes/hr stacker with a boom length of 37 metres and a 1,800 tonnes/hr wagon tippler, as well as two 850 tonnes/hr hybrid apron feeders, all of which is being delivered by Aumund Fördertechnik. The machines are being used to stack and reclaim iron ore pellets for Lebedinsky GOK, which describes itself as operating the largest plant in Russia and the CIS for the mining and processing of iron ore. According to Aumund, SCHADE technology guarantees that the iron ore pellets are not damaged during handling. This is achieved, it is claimed, by defining a 32-degree tilt for unloading material from the wagons into the bunkers. The boom of the stacker is structured to tip the fragile pellets with a drop of less than one metre. Commissioning of the equipment at Ultramar is planned for the end of 2020 / beginning of 2021. For further information, log on to www.schade-lagertechnik.com

the mess.” According to Brokk, health and safety organisations have identified silica dust as a significant hazard and have enacted regulations that limit the permissible exposure for workers in the construction and demolition industry. Some contractors choose to use spray systems, hoses, sprinklers, and water trucks, but these interventions, Brokk claims, are often inefficient and, in some cases, ineffective against crystalised silica dust. The problem stems from the size of the water droplets, which are much larger than the silica dust they are meant to trap. Silica particles range from 0.1 to 1,000 microns while traditional methods produce water droplets that are 200 to 1,000 microns in size. The size and velocity of these larger droplets cause air and silica particles to flow around them in a phenomenon known as the ‘slipstream effect.’ Hose and water truck spray methods are the most inefficient since they

produce the largest droplets, but even smaller onboard systems produce large droplets that can deflect silica particles, which can then be breathed in. Brokk engineered its dust suppression system to produce 10-micron mist droplets. This creates a fog of atomised water that captures dust particles in the air and spreads along the ground for optimal dust suppression. The system is incorporated into the tool mounting instead of the tool itself, allowing operators to provide silica dust protection with any Brokk attachment. The Atomised Water Mist System requires less water than other methods, making it more economical and environmentally friendly than other spray methods, Brokk claims.

For further information, log on to www.brokkinc.com

Careful unloading of iron ore pellets for Ultramar April 2020

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03/04/2020 08:28:57

INNOVATIONS

Fuchs launches new cutting and grinding fluid

Lubricants specialist FUCHS is about to unveil a new member of its ECOCOOL range of products, a globally-approved water-miscible cutting and grinding fluid for automotive component manufacturers. Alex Holmes, UK industrial product manager, commented: “Customers have reported up to 43% reduction in tooling costs when using the latest Ecocool ‘Global’ platform with existing tooling. Greater savings can be realised when tools are optimised for the process. In other studies, tool life increases of up to 150% have been recorded. “In the Fuchs UK R&D laboratory, cutting speeds have been increased to provide real benefits in productivity while maintaining excellent tool life. The rate of metal removal can also be increased. Results have indicated that a 16% increase in cutting speed is possible.” Holmes said that Fuchs is looking forward to ‘lifting the lid’ on Ecocool Global 20, which he believes is set to be the most innovative fluid yet to be introduced into the market. “Our experts will be on hand to discuss this new OEM-approved product as well as our comprehensive range of metalworking process fluids and services.” Fuchs also offers quality monitoring services through the introduction of its Fluids Live system. Utilised by more than 100 companies globally – many based in the UK – Fluids Live is claimed to be an easy-to-navigate web-based recording, tracking and reporting tool with integrated KPI

measurements. The Fluids Live system, claims Fuchs, can be the key to unlocking a successful maintenance strategy, with real time data providing immediate and remote access to data, showcasing the current condition of fluids in use. Within two hours of the collection of data under Fluids Live, information can be updated and production professionals able to make informed decisions on maintenance scheduling, production planning and other operational activities. “The feedback we are getting back from the customers who are utilising Fluids Live is extremely positive,” said Holmes. “It helps determine which machinery is working most effectively and highlights any that are not functioning to their capacity. “We use our own internal department to design the software and produce bespoke versions for each customer, some of which can be set up in a matter of days. “We will provide the optimum lubricants settings for operators which best suit the needs of our customers, giving real flexibility to the many different maintenance management packages available. “The whole idea is to obtain information from measurements such as oil sampling and vibration monitoring and to ensure asset care is being maximised. It’s all designed to cater for increasing skill shortages and to take the guesswork away, resulting in a hugely significant saving for manufacturers.

“Using the data in the right manner will allow for improved inventory control, reduced and simplified waste management activity and accurate analysis of fluid consumption by any machine, cell or process.” For an average production facility, lubricant purchases normally amount to around 3% of a maintenance budget, but lubrication-related activities can influence an estimated 30% of total maintenance costs. Fluids Live is constantly evolving, with recent innovations including the development of an API to enable live measurements to be recorded on a customer’s data boards. Increasingly sophisticated recording procedures will be introduced soon. Alex added: “Another important feature of Fluids Live is that the software is portal driven, offering management teams from companies working within the same group the ability to view other site information and share best practices both locally and globally. Most software packages are sold with licence fees, but customers using our lubricants enjoy free use of the software, making additional savings.” Fluids Live customers are encouraged to work closely with the Fuchs Lubricants UK team to ensure trend data is best presented in a format that suits the organisation.

For further information, log on to www.fuchs.co.uk

Intelligent crane systems introduced Columbus McKinnon Corporation, a leading designer and manufacturer of motion control products and technologies for material handling, has launched its Intelli-Crane™ family of products. New from the company is its Magnetek® brand Intelli-Protect™ system, the first product in the Intelli-Crane portfolio, which, claims Columbus, leverages automation technology to improve customers’ safety, productivity, and uptime. Intelli-Protect systems feature no-fly zone technology to help protect assets and personnel in working areas while improving facility throughput. No-fly zones refer to protected areas where normal crane operation is limited or entirely restricted. Intelli-Protect allows users to designate locations where a crane is programmed to slow down or stop, using motion control products

such as variable frequency drives, radio remote controls, limit switches, and sensors. According to Columbus, these versatile systems — ranging from simple configurations to the more complex — can be easily added to existing crane controls or included in new installations. “Implementing an Intelli-Protect System limits the risk of collisions, increases safety for equipment and personnel in protected areas, and improves facility throughput,” according to Peter Stipan, global director, automation division. Intelli-Protect is available in either fixed location or configurable options. Fixed Location Systems utilise limit switches installed on bridge and trolley motions that interface with a controller for functional customisation. These systems are available in three configurations opti-

mised for two-sided, three-sided, and four-sided areas where crane motion is limited or entirely restricted. Configurable Systems rely upon laser positioning sensors installed on bridge and trolley motions that interface with a controller for functional customisation. These systems can be configured to the user’s exact requirements and modified from any personal electronic device as changing process, plant, and crane conditions require. The name of the game here is ease of use, quick configuration, and short lead times to get up and running quickly. For further information, log on to www.magnetek.com

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INNOVATIONS

Woodings Industrial/Munroe Inc, global leader in the design and manufacture of equipment and components for the metals industries, is reinvesting in expanded manufacturing capabilities at all facilities. Recent examples include the addition of a vertical boring mill at the company’s Harmony PA plant and a new furnace at the Ringgold GA facility. The Harmony plant is in the process of installing a 138in/180in Giddings & Lewis 180 VTC CNC vertical boring mill. The company claims that the boring mill will augment the existing capability and will be put to use in the manufacture of heavy duty equipment for the steel and petroleum industries. Woodings Industrial claims that applications include valves and valve assemblies, tank bottoms and tank assemblies. Foundations are complete and equipment is being installed. The boring mill will be up and running this month (April). In Ringgold, the new and now operational induction furnace was supplied by Ajax TOCCO Magnethermic and was purchased to expand production capability of tight return hot bends in tubing for use in equipment such as economisers and furnace hoods for the steel industry. Rob Woodings, president of Woodings Industrial, said that the company was ‘very pleased to be able to continue to make capital investments that increase our productivity and competitiveness’. “This modern, highly-efficient equipment gives us expanded capability that provides greater reliability, increased accuracy and more repeatable results. It’s a win-win for us and for our customers,” Woodings said.

New induction furnace and boring mill

The new Ajax TOCCO induction furnace at Woodings Munroe’s Ringgold plant and (inset) the new Giddings and Lewis 180 VTC CNC vertical boring mill

For further information, log on to www.woodingsindustrial.com

Mill-duty coil grab for steel service centre A 37.5-ton capacity mill-duty coil grab has been installed beneath the hook of a 40-ton capacity overhead crane at a steel service centre in Decatur, Alabama, USA. The coil grab was manufactured by The Caldwell Group, a Rockford, Illinois-based company that specialises in both standard and custom lifting equipment. Alabama Sling Centre, a Caldwell Group distributor, provided the coil grab to the Monarch steel service centre. The grab replaced a previous coil grab that had become damaged over time; the facility opened in 2004. It is rigged below a 92-ft. span top-running double-girder crane, with a single hoist, manufactured by Zenar. The grab carries coils from the processing machine to a floor storage area, over a distance between 100 ft. and 200 ft. Josh Berryman, lifting specialist at Alabama Sling, said: “The crane has a standard hook block, but there is a scale system between the block and hook. The hook-scale assembly is used to monitor the weight of the coils being lifted. The crane and grab are operated by a single operator in a standing position, using radio remote control.” He explained that the coils are typically the

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same size but do vary in dimensions, and weigh up to a maximum of 75,000 lb. (37.5 ton). The maximum outer diameter is 80in, while the largest inner diameter is 20in. Coil widths range from 25.5in. to 76in. The crane is a Service Class 3 and Crane Man-

ufacturers Association of America (CMAA) Class D, meaning it is rated for heavy service application. The grab is ASME BTH-1 Design Category B, designated when the conditions of the lift are not always defined or predictable, or when load conditions could be severe. Monarch’s customer base includes appliance manufacturers and the automotive industry. The tier 1 and tier 2 suppliers to the auto assembly plants rely on these steel service centres, which act as a bridge between metal producers and end consumers. Monarch is headquartered in Cleveland and is one of the country’s largest providers of hot rolled, cold rolled, and galvanised steel product. In addition to the site in Decatur, a third service centre is located in Cadiz, Kentucky. For further information, log on to www.caldwellinc.com ‘Mill-duty’, as displayed on the coil grab, refers to the high level of work cycles that the equipment is designed for, explained Josh Berryman, lifting specialist at Alabama Sling.

April 2020

03/04/2020 08:29:03

INNOVATIONS

X-Deﬁnition plasma technology at IMTEX 2020

Saarstahl commissions new caster

Industrial cutting systems and software company Hypertherm, exhibited at the IMTEX exhibition in Bangalore, India, earlier this year. The company was exhibiting its X-DefinitionTM plasma technology during live cutting demonstrations at the company’s stand in Hall C, Booth C102. Hypertherm claims that its X-Definition plasma is the newest form of plasma technology, building on high definition plasma and setting new standards for cut quality on mild steel, stainless steel, and aluminium. The result, says the company, is squarer cut edges, markedly less angularity, and excellent surface finish on non-ferrous metals like stainless steel. Visitors at this year’s show were able to see the latest member to the XPRTM plasma product family as well as the Powermax45® XP plasma system. Marco Mostert, regional director EMEIA, said that India was an important market for

German steelmaker Saarstahl AG, a world-leading producer of high-grade steels, has successfully commissioned a new SMS group five-strand billet caster at its plant in Völklingen. The caster is designed for a nominal annual production of 850kt and the casting of 180mm square billets. The new five-strand continuous casting machine – called S1 by Saarstahl AG – is equipped with the latest technological features, such as: CONVEX molds, hydraulic mold oscillators, mold and strand electro-magnetic stirrers, mechanical soft reduction and an electrical and automation system prepared for the full implementation of Industry 4.0. According to SMS group, the S1 is the first caster in the world designed with mechanical soft reduction (MSR) technology for a billet cross section of 180mm square. It produces billets in a wide range of steel grades, including bearing steel, spring steel, cold-heading and free-cutting steels. Saarstahl AG was the first manufacturer in the world to apply mechanical soft reduction in billet casting. With the new S1 caster, the steelmaker is now even better positioned to further strengthen its leading position in this technology and to successfully cope with the volatile and increasing market demands, claims SMS group. The caster is equipped with a complex discharge system, with a turnover cooling bed equipped with a forced cooling system to cool the billets down to 100 deg C. Saarstahl AG has co-operated with SMS Concast AG for many years. In 2003 and 2008, SMS Concast had already supplied the steelmaker with two casting machines.

Hypertherm and that IMTEX was a key international platform for meeting and interacting with customers. “Whether it is plasma, waterjet or another technology, our mission is to provide each customer with the optimum cutting solution that meets their business needs.” The company was also showing its CAM nesting software line, automation products as well as torch and consumable technologies. Hypertherm designs and manufactures industrial cutting products for use in a variety of industries such as shipbuilding, manufacturing, and automotive repair. Its product line includes cutting systems, in addition to CNC motion and height controls, CAM nesting software, robotic software and consumables.

For further information, log on to www.hypertherm.com.

Fesan Makina praises SSAB steel Turkish trailer and tipper manufacturer Fesan Makina (FM) has switched to Hardox® wear plate and Strenx® performance steel to meet customer demand for stronger and lighter equipment. Mehmet Baypinar, who is responsible for domestic sales, says the company has made a name for itself in Turkey and now it wants to be a big name in the rest of the world. He believes that using Hardox and Strenx will help. In fact, Fesan Makina claims that the implementation of Hardox 450 wear plate and Strenx performance steel have met the company’s expectations and more. Their new multi-purpose loads model, the Dangal, withstands harsh conditions, and its design incorporates innovative solutions, says the company. Strenx 700 and Strenx 960 steels have replaced the previous thick mild steel and shaved off about 800kg from the chassis. “Fesan was the first company to use Hardox in the side and rear doors,” Baypınar says. “The change to 1.5mm Hardox 450 from 3mm thickness in the doors has made the vehicle another 600kg lighter just from the doors.” The doors of the tipper bodies used to be made out of mild steel, meaning that deforma-

tion and severe dents would be a big issue for heavy loads. But in 2015 Fesan decided to test Hardox® 450 steel for the side doors with supporting parts made of Strenx steel. The result was extremely positive, claims FM. “We got remarkable feedback about the quality, and customer satisfaction was exceptionally high,” company founder Selim Selvi said. “Before Hardox and Strenx entered our lives, our trailers in Turkey would weigh about 9 or 9.5 tons. After we began using Hardox and Strenx we were able to decrease the weight in phases, first to 8,000 kilos, then to 7,000, and now 6,200 kilos.” Selvi said that less weight means carrying more product load and this translates into better productivity for the end user. “Less fuel consumption saves money, and is positive from a sustainability point of view,” he said. Fesan became a ‘Hardox In My Body’ member last year to certify the quality. Membership includes material support from SSAB. Looking ahead, Fesan is focused on a new design and is looking forward to technical support from SSAB in order to start incorporating the steelmaker’s Hardox 500 Tuf steel in its planned new models. “Fesan is an innovative company and our trademark is producing quality products, and for that you need quality material,” said Selvi.

For further information, log on to www.sms-group.com

For further information, log on to www.ssab.com

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03/04/2020 08:29:18

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INNOVATIONS

Chinese CPL for UHSS grades A continuous pickling line (CPL) with a capacity of around 1.5Mt/yr (metric tonnes) of hotrolled strip was supplied to Chinese steelmaker Shougang Jingtang United Iron & Steel Co in December 2019. The equipment was supplied by Primetals Technologies and is part of the planned phase two development of a new production plant in Caofeidian, Hebei Province. Shougang Jingtang is part of the Shougang Group, which is one of China’s leading steelmakers. The company produced 27.3Mmt of steel in 2018 and operates a number of CPLs, continuous annealing and continuous galvanising lines, processing the complete range of carbon steel. Its main focus is on value added products. The plant is designed to process ultra-high strength steel (UHSS) grades for high added value

products to be used in the automotive, bus and truck industry as well as for all heavy industrial applications. The CPL is designed to pickle hot rolled strip with thicknesses ranging from 0.8mm to 7.0mm, and widths from 750mm to 1,630mm, and handle coils weighing up to 33.6 metric tons. The strip speed upon entry is 650 metres per minute, the pickling itself runs at 320 metres per minute, and speeds of up to 400 metres per minute are reached in the exit section. Primetals Technologies was responsible for engineering and manufacturing and supplied all core equipment for the line. A heavy scale breaker was installed upstream of the pickling station, which has five flat turbulent pickling tanks fitted with an acid recirculating system. Downstream

there is a rinsing tank with five compartments, water recirculation system and strip drier. The strip then passes through a skin-pass mill and a tension leveller and is then side-trimmed, before passing through an inspection station, to ensure it has the required surface quality. A flying shear is installed in the exit section. Primetals also supplied the electrical and automation equipment and supervised the erection and commissioning. Shougang Jingtang took care of the associated civil works and the erection of the line.

For further information, log on to www.primetals.com

WS Tyler Equipment has been rebranded WS Tyler Equipment has been rebranded as Haver & Boecker Niagara. The new name for the business was launched at the recent ConExpo-Con/ Agg 2020 convention in North America. Haver & Boecker Niagara is a leading supplier of screening, washing, pelletising and primary crushing systems. The company claims that its mission is to deliver the best of these technologies to customers in the aggregates, mining, minerals, cement, chemical and food industries. “With deep roots and years of experience in these industries, Haver & Boecker Niagara uses its innovative and shared technologies to effectively meet the needs of customers around the world,”

said the company. Karen Thompson, president of Haver & Boecker’s North American and Australia operations, said that the ultimate goal of the business was to offer a complete portfolio of mineral processing technologies to meet the needs of its global customers. “As we move forward, North American customers will continue receiving the same quality they have come to trust from the Tyler brand, but now under the Niagara name,” Thompson said. Streamlining the equipment portfolio, claims the company will ensure parts commonality and allow access to virtually the same parts world-

wide. “Sharing one common technology portfolio means one common service approach: increasing service availability and expertise to solve customers’ challenges,” said Haver & Boecker. Going forward, the brand will incorporate the expertise of its three mineral processing locations in Brazil, Canada and Germany and they will collaborate on product design, consider application challenges, and manufacture processing solutions to improve customers’ efficiency and profitability. Existing management, employees and the North American distribution network in North America remains the same. The global equipment brand falls under the Machinery Division of Haver & Boecker, headquartered in Oelde, Germany. In addition to the mineral processing equipment offered by Haver & Boecker Niagara, the machinery division specialises in material handling, packing, mixing, filling and palletising technology for the mining industry. The company’s wire weaving division produces thousands of various types of wire mesh for screening, filtration, automotive applications and laboratory technology, as well as architecture and design products. For further information, log on to www.havercanada.com www.steeltimesint.com

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USA UPDATE

COVID-19 and Indian trade talks Indian State Chhattisgarh’s chief minister, Bhupesh Baghel, visits New York to attract investments to his iron-ore-rich state and the USA deals with a global pandemic and other issues. By Manik Mehta* WHILE all eyes are fixated on China, which is fighting to control the dreaded Coronavirus (Covid-19), the US steel industry is nervously monitoring and assessing the fall-out from this health crisis in terms of lives and business disruptions. Coronavirus originated in China’s interior in the industrial hub of Wuhan – ‘our Pittsburgh’, as some Chinese like to say – which is also the heartland of that country’s steel industry. Wuhan is the industrial nerve centre of China, forming a union of three adjacent cities: Hankou, Wuchang and Hanyang. The success of Wuhan’s steel industry is attributed, in no small way, to the iron ore and coal availability from mines in its proximity. The US industry has been closely watching the Coronavirus drama unfolding in Wuhan because there is a cluster of US companies operating there. The situation in China offers a lesson for the US steel sector. As in China’s case, the Coronavirus is also spreading its tentacles around the US metal industry. Trade and industry-related events have been cancelled in both countries. Employees, where possible, are told to work from home rather than coming to offices and factories.

Meanwhile, steel buyers are eager to make advance purchases and build up reserves, expecting that the – still – low price level could rise in the coming weeks and months. US steel companies are, no doubt, delighted at the prospect of a price upsurge during the Coronavirus duration, giving a strong fillip to their business. While the malady rages and is now a full-scale pandemic, US steelmakers are not

P Arun Prasad, Chhatisgarh State Industrial Development

losing sight of other issues at home. Given the universal emphasis on sustainability and environmental protection, steel companies are highlighting the recycling character of steel; it is, as Nucor says, the ‘most recycled material on earth’. It is pointed out that annual global steel consumption is roughly 1.9 billion metric tons. How long the prices of steel will remain at the current level will depend on demand. But the Coronavirus has also hit the steel industry’s slow recovery. The US steel industry, which was on the path of recovery towards the end of 2019, fueled by rising domestic steel prices, had been hoping that the recovery would further strengthen in 2020. The prices of hot-rolled coil had risen in December 2019, touching $600 per ton, thanks to steps taken by the country’s big steel mills. The shares of US steel companies had gained strength towards the end of 2019 when steel prices staged a recovery. Amid the Coronavirus turmoil, Lourenco Goncalves, the chairman/CEO of Cleveland Cliffs Inc., which has bought out AK Steel, cautioned lawmakers that unchecked imports of electrical steel products into the US could force the closure of two of his company’s mills, resulting in over 1,500 job losses.

* USA correspondent April 2020

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02/04/2020 10:14:54

USA UPDATE

Goncalves stated that AK Steel mills in Butler, Pennsylvania, and Zanesville, Ohio, had become unprofitable, thanks to a loophole in Section 232 steel tariffs imposed by the Trump administration. He is one of several steel executives to complain to the Congressional Steel Caucus that import protection for the industry was not effective enough to stop the global steel glut caused, mainly, by China’s excessive capacity. Goncalves specifically pointed out that the 25% tariffs on steel imports had not included electrical steel laminations and cores used in transformers and motors, causing a steep rise in imports of these downstream products from China and other countries into the US via Mexico and Canada. This surge in imports, as he also told Commerce Secretary Wilbur Ross, would force the closure of the two plants, unless the lamination and cores were included in Section 232 tariffs. While President Trump has been saying that tariffs had revived the fortunes of the US steel industry, his critics say that tariffs have resulted in increased costs for US manufacturers and blunted their competitive edge. Goncalves’ warning of job losses comes after another steel icon, US Steel, had announced before the end of 2019 that it was shutting down much of its Great Lakes Works, near Detroit, laying off 1,500 workers. US Steel announced that it was indefinitely idling a ‘significant portion’ of its Michigan operations, starting with the iron and steel-making plants in April, later extending to its hot-strip mill-rolling facility by the end of 2020. US Steel’s move is symptomatic of the difficulties facing US steelmakers despite the tariff protection provided by President Trump. The increasing M&A activities affecting the industry have added to the uncertainty. Jobs mean a lot to workers – and voters – in times of uncertainty; in an election year, Trump is painfully aware of this, and so are the steelmakers. Indeed, an economist with MUFG Union Bank recently told CNBC that ‘this could be the last perfect employment report the market gets for some time,’ while the economic research director of Indeed told the news outlet that “the next few months will be a test of just how resilient this labour market is.” Meanwhile, a high-powered delegation from the Indian state of Chhattisgarh, www.steeltimesint.com

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Bhupesh Baghel, Chief Minister of Chattisgarh

“Of interest to steel companies will be not only the existence of iron ore mines, but also the availability of land in Chhattisgarh.” led by its chief minister, Bhupesh Baghel, recently visited New York; Baghel made a strong pitch to potential investors for his state that offered ‘incredible benefits’ to investing companies, which would have access to a huge market with a welldeveloped infrastructure and rich mineral reserves. Although land-locked Chhattisgarh lies in Central India, the country’s national highways crisscrossing north to south and east to west, pass through Chhattisgarh providing it with easy connectivity to Indian ports, airports, rail and road destinations. Baghel highlighted the state’s rich iron-ore reserves. “Of interest to steel companies will be not only the existence of iron-ore mines, but also the availability of land in Chhattisgarh. It is the second largest ironore producing state in India. Connectivity with airports and ports is well-developed. Availability of abundant energy is another attraction,” Baghel told Steel Times International during a presentation at the Indian consulate general in New York. He had earlier visited Silicon Valley and Boston before arriving in New York where he met US company executives. Baghel said that investment from the US had been ‘limited’ in recent years but ‘we are here to promote it. Three major industries that are well-established in that state are the steel, power and aluminium industries. Asked by this correspondent to clarify what Chhattisgarh was offering to potential

investors, particularly in the steel sector, the chief minister replied: “We are certainly not negatively inclined to the steel industry”. However, he added that because of environmental considerations, his state was trying to curb pollution. The Chief Minister emphasised, however, that Chhattisgarh was rich in iron ore, and that steel companies were ‘most welcome’ to set up operations in certain places in the state. In an interview with Steel Times International, on the sideline of the chief minister’s presentation, P Arun Prasad, the managing director of the state’s industrial development agency, Chhattisgarh State Industrial Development Corp, which promotes the state’s industrial development, said that ‘one strong attraction’ for the steel industry was the state’s efforts to create infrastructure to promote special industries, including the steel industry. Prasad pointed out that, as is the case in other states, Chhattisgarh offered mines to foreign companies on a ‘lease basis’ rather than allow them to make outright purchases. “We welcome steel companies to avail of the opportunities available to them in Chhattisgarh … we have marked areas which already have a cluster of steel companies operating … however, new steel companies can set up greenfield plants in other areas within the state which has abundant land,” he explained. � April 2020

02/04/2020 10:14:58

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LATIN AMERICA UPDATE

Brazil’s steel confidence index Brazil, like other Latin American countries, has experienced a long trajectory of economic volatility. This article analyses the confidence index for Brazilian manufacturing, in general, and for the steel industry, in particular. By Germano Mendes de Paula* National Industry Confederation’s indexes The National Industry Confederation (CNI) started to collect data for calculating the Business Confidence Index (ICEI) in 1998 and started to release the data the following year. The index is described by CNI as “a leading indicator designed to identify shifts in industrial production trends. The ICEI helps to predict industrial production and thus Brazil’s GDP growth, as confident entrepreneurs tend to step up investment and production in order to meet the expected increase in demand. (…) State, regional and national indicators are prepared for companies of different sizes and national sector indicators are also produced”. ICEI was initially designed to gauge the opinion of entrepreneurs in 19 Brazilian states (from a total of 27) and to cover companies with 25 or more employees. Since 1999, the index has experienced some changes, in order to have a better regional reportage, improve the sample’s quality and reduce the cut-off point for inclusion in the target population from 25 to 10 employees. From 2010, ICEI started to be released on a

monthly basis. Currently, ICEI includes variables from the past and the future, comparing the current situation with the previous six months and the situation looking six months ahead from when the questions were initially asked. ICEI is a diffusion index ranging from zero to 100, stressing that figures above 50 points indicate that entrepreneurs are confident, whereas numbers below 50 points illustrate a greater lack of confidence. The ICEI is calculated based on four questions: a) current conditions of the Brazilian economy; b) current conditions of companies; c) expectations on the Brazilian economy; d) expectations on the firm. It is determined from the relative frequency of responses. Each question has five mutually exclusive options. From the most negative to the most positive, each option is assigned weights of 0.0; 0.25; 0.50; 0.75 and 1.0. The indicator for each question is the average of these scores weighted by the relative frequencies of the responses. The company size is also taken into consideration. The ICEI for each firm is equivalent to the weighted average of the indicators of current conditions (weight 1)

Fig 1. Manufacturing conﬁdence index, 2011-2020. Source: National Industry Confederation (CNI)

and expectations (weight 2). The ICEI comprises data for manufacturing, construction and mining and quarrying. Fig 1 shows the index for manufacturing during the period January 2011 to February 2020. It diminished from 61.0 points at the beginning of the series to only 34.9 points in October 2015. It surpassed the 50.0 level only in August 2016 and then achieved 65.2 points in February 2020. This value was roughly up 10 points from its historical average and by 0.3 points from the ﬁgure observed in the same month a year ago. It is interesting to verify that along all the examined period, the expectations have been considerably higher than the current conditions (on average, the difference was 11.8 points). Fig 2 demonstrates the index for basic metals, in which the steel industry was included. This data was also provided by CNI. The basic metals’ trajectory was quite similar to the general manufacturing sector’s trend. It dropped from 60.1 points

Fig 2. Base metals conﬁdence index, 2011-2020. Source: National Industry Confederation (CNI)

* Professor in Economics, Federal University of Uberlândia, Brazil. E-mail: germano@ufu.br www.steeltimesint.com

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April 2020

02/04/2020 11:13:49

LATIN AMERICA UPDATE

Fig 3. Steel conﬁdence index, 2019-2020. Source: Brazil Steel Institute (IABr)

in early 2011 to 30.2 points in September 2015 and then recovered to 67.0 points in February 2020. Indeed, they are much synchronised, although the intensity of change for basic metals was higher. In addition, the expectations index average was 10.5 points greater than that for the current conditions.

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Brazil Steel Institute’s index Last year, the Brazilian Steel Institute (IABr) launched the socalled “Steel Sector Confidence Index” (ICIA). Its methodology is based on the ICEI’s standards. The reason for this procedure is the wide acceptance of ICEI, which follows international standards. However, for the construction of ICIA, it was necessary to adapt the methodology due to the characteristics of the steel sector. The survey is not composed of a sample probabilistic, but comprised of the universe of companies associated to IABr, which corresponded to 86.8% of the country’s crude steel production in 2018. Consequently, it guarantees the necessary credibility and representativeness at a higher level than that required of a sample probabilistic. All ICIA respondents have more than 500 employees. The questionnaire is formally answered by the CEOs. The weight of each company in the calculation of the ICIA is based on their participation in domestic sales (with weight 3) and in exports (with weight 2). This procedure was adopted to recognise the high level of importance of the national market for Brazilian steelmakers. Fig 3 shows the ICIA amplified from 59.0 points in April 2019 to 70.2 points in February 2020. It has been a considerable improvement, considering the timescale of under one year. Meanwhile, the current conditions index increased from 47.6 points to 73.9 points, while for the expectations index the values were 64.7 and 68.4 points. The current conditions’ caught up and surpassed the latter, a phenomenon that was not observed for manufacturing and basic metals. It seems wise to look more carefully at February 2020’s data. ICIA fell 3.1 points compared to the previous month. The current conditions index expanded by 3.8 points, whereas the expectations index plummeted by 6.6 points. Thus, the perception of the steel companies’ CEOs revealed a tipping point before COVID-19 turned into a pandemic. In conclusion, the leading indicators help market participants predict significant changes in the economy. ICEI has played an important role in following the Brazilian manufacturing industry for long period of time and ICIA is a new effort focused on the steel sector properly. � www.steeltimesint.com

02/04/2020 11:13:50

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New opportunities for special steel The collaboration between Nippon Steel, Sanyo Special Steel and Ovako is opening up new opportunities for special steel. With the historical strength of Ovako in bearing steel this sector is one of the initial focus areas. 2019 marked a significant change in the previously rather fragmented world of special steel. Why? Because Sanyo Special Steel completed its acquisition of Ovako. At the same time, Nippon Steel increased its ownership in Sanyo Special Steel, which became a majority-owned subsidiary of Nippon Steel. This now enables a closer co-operation between the three brands with the ambition to become world leader in special steel, a vital material used for the manufacture of critical components in various industries, including automotive, industrial equipment, mining, wind April 2020

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power generation and robotics, and it is anticipated that global demand for it will continue to grow steadily. Ovako specialises in long products with an emphasis on leading edge technology to produce steels such as BQ-Steel and IQSteel grades with the highest possible levels of cleanness for demanding applications such as bearings. They also recently developed Hybrid Steel, a ground-breaking innovation made possible by a new alloying philosophy and a sophisticated hybrid hardening metallurgy. Nippon Steel has a global reach and is a

leading steel producer in the world, known for high-quality, high-performing steel across many product forms and end-use applications. Sanyo Special Steel has extensive experience of manufacturing high-quality steel. It provides various special steel bars and seamless tubes, including bearing, engineering, stainless, heat resistant and tool steel as well as metal powder and powder metallurgy products. Fig. 1 shows what each company brings to the collaboration. Göran Nyström explains. “In developing our www.steeltimesint.com

02/04/2020 10:33:13

SPECIAL STEELS

new collaboration, we have focused on combining our individual expertise, products and support insteelmaking a leading global• Japan-based • •Japan • •steelmaking Europe based steel making • • Japan and India basedsteelmaking steel making • Europe-based steelmaking JapanIndia-based • Japan-based Europe-based steelmaking Japan-based • based Japan-steelmaking steelmaking and India-based steelmaking • and Europe-based • Cutting-edge technology • Europe’ sCutting-edge leader in bearing steel Japan’•s leader in sbearing steel • Cutting-edge technology Europe’sleader leader ininbearing steelsteel • Japan’ stechnology technology leader in bearing steel Europe’ in bearing steel • •Cutting-edge • •Europe’s bearing • • Japan’s leader in leader bearing steel offering. The aim is to achieve a common • Multiple locations of steelmaking and rollingand products • Wide• range and products • Vertical casting, re-melting • Multiple locations of steelmaking and rolling • Wide range of metallurgies Multiple •of metallurgies Vertical locations continuous of steelmaking casting,and re-melting rolling • continuous Wide range of metallurgies and products footprint • • World´s best CO • Metal powders, tool steel, stainless steel • Multiple steel making and rolling • Wide range of metallurgies and footprint footprint • • World´s best CO • • Metal powders, tool steel, stainless steel • World´s best CO • Vertical continuous casting, re-melting goal of helping our customers to be more • World most energy-efﬁcient products • Metal powders, tool steel, stainless successful than ever. That is because they blast-furnaces • World best CO2 footprint steel can benefit from the added convenience of choosing from the world´s widest range of • World-leading range of products • World-leading range of products • World-leading range of products • Optimal global production and supply • Optimal global production and supply • Optimal global production and supply special steel products. “Optimised global Fig 1. The collaboration be• Cutting-edge R&D resources • Cutting-edge R&D resources • Cutting-edge R&D resources • Sustainable ownership and production • Sustainable ownership and production • Sustainable ownership and production • World-leading range of products production and supply also give them the tween Ovako, Nippon Steel and • Global supply chain and customer support • Global supply chain and customer support • Global supply chain and customer support • Optimal global production and supply reliable Sanyo Special Steel is opening • Cutting-edge R&D resources deliveries they need. And up new opportunities for • Sustainable ownership and production the joint strength of speciality steel • Global supply chain and customer support our R&D resources helps accelerate international business they have tended to alternative global supply routes for their innovation, work more with Japanese OEMs. So now all customers, so they know they can always boosting three companies are exploring opportunities rely on their security of supply,” said competitiveness. to cross sell to each other’s customer Nyström. Finally, through bases. “For that reason, we are bringing environmentally our staff together to ensure that we have Innovation efficient production, the right people working together at both Behind each of the company’s R&D strong industrial ownership, the supplier and customer levels. It is all locations there is a proud history of having global supply and worldwide about increasing market share and creating developed advanced products for many customer support capacity, we ensure customer value,” Nyström explained. types of highly demanding applications. an unrivalled level of sustainability and Now that the combined experience of availability.” Bearings – the initial focus area these centres of excellence are available, Mikael Östman explains how co-operation the company is opening new doors for Convenience in the Bearings segment will work. “The even better collaboration with customers Nyström continues, “Because we are able full collaboration only started in 2019, who are seeking leadership in their specific to offer the world’s widest range of special so we are still in the early days. The first markets. steel products, customers can obtain the work we did together was when Ovako exact solution they need for their specific met Nippon Steel at the Bearing fair 2018 Sustainability industrial application. This is reinforced in Shanghai. Then the Ovako team visited The collaboration that the company by our commitment to meeting demands Japan to provide technical assistance on now enjoys is based on strong industrial for the highest levels of product quality, testing and comparing materials to achieve ownerships as well as environmentally with certification to meet most quality and the necessary approvals to help persuade efficient steel production, whether environmental standards, whether from a bearing customer to adopt a new special scrap- or ore-based. For example, Ovako’s ISO, JIS or IATF.” steel. manufacturing process is based on recycled “The bearing collaboration started to take steel scrap and a Nordic fossil-free electricity Availability off when Sanyo came on board. We meet mix. As a result, the carbon footprint of its Bringing together the global operations every two months where we have a joint steel products is a full 80% lower than the and sales channels of three steel companies Ovako, Sanyo and Nippon Steel discussion global average. It is also clean and strong means that the company can provide of all our bearing projects. The aim is to because Ovako minimises impurities in the even better customer service. Combined learn more about each other’s business, steel during the production process. This sales operations across the world in share ideas and also map the world for clean steel has high-quality properties that combination with well-established trading opportunities for us to address the needs enable customers to create lighter, stronger channels and value-adding logistics gives of the ‘Big Six’ bearing companies. As part and more durable end products. The focus new advantages. It allows the business to of this process we are already making joint of all three companies in this collaboration provide leading-edge technical support visits to customers. is long term. This means that customer as well as tailored logistics for customers “One way that we are demonstrating relations are approached with a long term wherever they are. the strength of our collaboration is perspective and based on the development developing a methodology to find a of robust and sustainable supply chains. Reliability Creating opportunities for cross-selling common standardised way of measuring “Together, we can call on a broad portfolio and quantifying the cleanness of steels. This It is interesting to note that before the of steel metallurgies and rolling mills in is because cleanness is a critical factor in the three brands came together, Ovako was nine global locations across Sweden, fatigue life of bearing steel. Ultimately, we addressing different markets. The two Finland, Japan and India as well as many are aiming to set new standards in bearing Japanese companies were, of course, complementary downstream operations. performance.” heavily present in Japan, but in their That means we can always find several 2

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Ovako read MM.indd 2

April 2020

02/04/2020 10:33:18

• • • •

Japa Japa Verti Meta

SPECIAL STEELS

100

120

140

160

180

200

Diameter (mm)

40 Fig 2. Ultrasonic testing of a typical steel (top) and a

sample on the top is a typical carburised steel currently used in power trains and the lower sample is a clean steel produced by clean steelmaking methods. While standardised testing is ongoing, our collaboration is also looking forward to introducing new steels, such as hybrid steel, to the market. This is a long process, but it is already starting to bear early fruit.

clean steel (bottom). 20 40 0

100

120

140

160

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Length (mm)

An area where all three companies are already sharing best practice is in the use of new ultrasonic techniques to quantify steel cleanness. For macroscopic inclusions, relatively crude methods are used to define the acceptable number of very rarely occurring large-sized inclusions. But they do not provide the information needed to define the performance of clean steels used

April 2020

Ovako read MM.indd 3

in demanding applications. “Instead, we are promoting the use of immersed ultrasonic testing that can inspect a fairly large volume of steel in a short period of time,” said Östman. Fig. 2 shows examples of ultrasonic testing on bars with a diameter of around 70 mm. Here, two samples have been evaluated by 10 MHz ultrasonic testing; the

Customers welcome the collaboration Customers have welcomed this collaboration between Ovako, Nippon Steel and Sanyo Special Steel and recognise the benefits that a much broader portfolio of steels will bring to their own businesses. This collaborative strength is being put to effective use in improving the supply logistics of the special steel business. This includes establishing service centres to provide local manufacturing support for bearing manufacturers. For example, a new service centre in Mexico supplies the steel, forges it and heat-treats it to create semi-finished components ready for use by a nearby bearing factory. This enables a much more responsive and cost-effective supply chain.�

www.steeltimesint.com

02/04/2020 10:33:20

With the right steel the only limit is your imagination There is an Ovako steel to suit almost every design and engineering challenge, no matter how extreme. Donâ&#x20AC;&#x2122;t let your material limit your imagination.

OVA0161_BrandAD_NSSMC_210x297_200318.indd 1

In 2018 we became an integral part of Nippon Steel Corporation, allowing us to strengthen our offering in partnership with the worldâ&#x20AC;&#x2122;s largest specialty steel producers. This means we can support you with broader global service, knowledge and steel options from the group portfolio. Consider it yet another way to open up new design possibilities. Find out how we can help your imagination come to life at ovako.com

2020-03-18 15:27

MINIMILLS

Going viral? Despite the current uncertainty about COVID-19, expectations are that 2020 will be another relatively positive year for US electric arc furnace (EAF) steelmakers as they continue to make market share gains versus their integrated counterparts. By Myra Pinkham*

“One big wildcard is what impact the spread of the novel coronavirus will have

FURTHER gains for electric steelmakers are likely in the next several years as additional steelmaking capacity comes online and the EAF producers make further inroads into higher quality end-use markets such as the automotive, appliance and energy sectors. However, there appears to be more positive momentum for flat rolled steel than long products, according to John Anton, associate director of IHS Markit’s pricing and purchasing service. Anton points to recent announcements by Gerdau that it is idling melting and rolling operations at two of its bar mills – Jackson, Michigan, (SBQ mill) and St. Paul, Minnesota (rebar and SBQ mill) – over the next few months. Also, as part of its profitability improvement plan, TimkenSteel says it plans to take further significant steps to improve its cost structure. It recently sold its Akron, Ohio, scrap processing facility to Holub Recycling and over the past year has cut a number of production and non-production jobs. That, however, is being balanced by some new steel long product capacity coming onstream this year, most notably Nucor’s new Sedalia, Mo., rebar micro-mill and an upgraded merchant bar mill in Kankakee, Ill. One big wildcard, however, is what impact the spread of the novel coronavirus (COVID-19) will have upon the US and global economy and, therefore, steel demand. This, says Philip Bell, president of the Steel Manufacturers Association (SMA), comes at the same time as an uncertain political landscape with the upcoming US presidential election. Both the volumes of US EAF crude steel production and its percentage of overall domestic raw steel output has been steadily increasing over the past several years,

Christopher Plummer, managing director of Metal Strategies Inc., observes, noting that last year 67.4Mt (short tons) of EAF steel was produced, which was 69.7% of total US raw steel output, up from 64.9Mt (a 68% share) in 2018 and 61.5Mt million tons (a 68.4% share) in 2017. Plummer is forecasting that in 2020 EAF crude steel output could increase further, to 69.4Mt, which is expected to be a 70.3% share of total US raw steel production. Plummer says that much of the recent EAF steel share gain shouldn’t be attributed to the recent, moderate increases in EAF steel production, but, rather, selective idling or closure of integrated steel capacity, including part of US Steel’s Great Lakes Works and ArcelorMittal’s No. 3 blast furnace at its Indiana Harbour facility. The No. 3 blast furnace, however, was not idled because of the competition between EAF and integrated steelmakers, Tyler Kenyon, a Cowen & Co. metals and mining analyst points out. Rather, he says that production was suspended because it was in need of an expensive relining and current market conditions don’t warrant ArcelorMittal to make such a large capital expenditure at this time. Especially given plans for a signiﬁcant amount of new steelmaking capacity – virtually all EAF capacity – to come online through 2022, Kenyon says there could be further idling of US blast furnace steelmaking capacity, possibly at US Steel’s Granite City facility, which, he says, could be at least partially “repurposed” to produce pig iron, direct reduced iron (DRI) or hot briquetted iron (HBI) to feed Big River Steel, in which it currently has a 49.9% minority interest and a call option to acquire the

upon the US and global economy and, therefore,

”

steel demand.

remaining 50.1% within the next four years. Such speculation about Granite City, is just that – speculation, Richard Fruehauf, US Steel’s senior vice president of strategic planning and chief strategy and development ofﬁcer, says, pointing out that Granite City is currently making a lot of valuable steel products. This comes as a signiﬁcant amount of additional US EAF steelmaking capacity is expected to be coming online over the next several years, although just how much will actually do so and whether there is adequate demand to support that increased capacity is still a matter of conjuncture. Prior to the recent coronavirus problems and energy sector-related pessimism, SMA’s Bell estimated that US steel demand appeared to be on a path to increase somewhere in the 1-2% range this year. Even then, IHS Markit’s Anton described the underlying demand for domestic EAF steelmakers as being somewhat “bleh” with their end-use markets not doing that badly,

* US correspondent April 2020

EAF Myra read MM.indd 1

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MINIMILLS

“A signiﬁcant amount of additional US EAF capacity is but not being that great either. For that reason, he said that he wasn’t convinced that their plans to add so much new capacity, particularly sheet capacity, was that good an idea. In fact, he questioned that if all the capacity that domestic steelmakers have been talking about is indeed added whether it would result in the same kind of disaster that the market experienced in 2000-03, when there was a massive number of bankruptcies. On the other hand, Kenyon says that that the new steelmaking capacity includes investments in technologies that will enable US EAF steelmakers to produce higher grades of steel with more desirable widths, tolerances and thicknesses and greater reﬁning capabilities to reduce impurities before the steel is cast, which could allow them to make further inroads into certain traditionally integrated steel end-use markets such as the automotive industry – possibly even, to a certain extent, some exposed automotive applications. Plummer points out that many EAF steelmakers have already been making www.steeltimesint.com

EAF Myra read MM.indd 2

expected to be coming online over the next several years.

” inroads into such high quality end use markets as automotive and appliances for several years. In fact, he says that 10-15% of Nucor’s and Steel Dynamics’ sheet product – as well as a substantial amount of SBQ – is sold into the automotive sector, including advanced high strength steels (AHSS). Even though many of the inroads that EAF steelmakers had previously made into the automotive market had been for internal or structural applications, Bell says that some of the investments announced, as well as recent and expected merger and acquisition activity, will enable them to make more inroads into new end-use applications, including exposed auto sheet.

While it is somewhat uncertain if some projects will be delayed given the possible negative impact of the coronavirus and lower energy prices upon US steel demand, Plummer says that 10.9Mt of EAF flat rolled steel (sheet and plate) capacity – predominantly expansions of existing facilities – has either been already built or is under construction or funded to come online between 2018 and 2022 with another 5.2Mt of flat roll capacity said to be possible or even probable over the same timeframe. In addition, there has been another 1.8Mt of steel long product capacity additions (both greenfield and brownfield expansions and restarts of previously idled capacity) – largely rebar micro-mills. “This should be looked at as a modernisation of the US domestic steel industry,” Bell says, given that many of these projects are going to have state-ofthe-art manufacturing processes and rolling and melting operations as well as state-ofthe-art sustainability and environmental controls in place. April 2020

02/04/2020 12:11:18

MINIMILLS

US Steel’s Fruehauf says. “It is because of our assessment that having a diversified portfolio allows us to participate, and be stronger, in certain segments of the market as well as helping us during all the different stages COVID-19 comes at the of the business cycle,” he says, same time as an uncertain noting that, for example, the variable political landscape with the cost structure of an EAF is helpful upcoming US presidential when demand is in a trough. He says that election. having EAF assets are also expected to help US Steel in its goal to reduce its greenhouse gas emissions by 20% from 2018 to 2030. Imports Imp % Consumption % Change He also points out that while US Steel doesn’t currently have an operational 909 14.7% 6,180 14.8% EAF, the one being built at its Fairfield, 876 13.1% 6,700 13.0% 860 13.5% 6,348 13.5% Ala, mill is expected to be operational in 569 8.4% 6.758 8.7% the second half of this year and has the 550 7.7% 7,101 7.7% intention to acquire the remaining 51.1% -32.5% 6.5% -3.6% share of Big River over the next few years, 528 8.2% 6,476 -8.8% while also focusing upon its endless casting and rolling technology at its Mon Valley complex, which, in an unusual hybrid combination, will be linked to a blast furnace to make its XG3 third generation with plans to build a second mill in the southern US. He says that while Brownsville, AHSS. Whether the lower cost of the new Texas, is the leading contender for its EAF steelmaking capacity will result in location, the steelmaker is also considering other US integrated producers following other sites. US Steel’s lead and entering into the EAF space remains unknown. But given that Advanced steelmaking equipment he believes that little import share will CEO Dave Stickler says that Big River be displaced by the new capacity, Anton Steel, which is the world’s only LEED says it could be likely. “Status quo isn’t certified steel producer, has advanced going to solve anything.” Kenyon says that steelmaking equipment that relies upon ArcelorMittal is the most likely integrated new technologies such as machine learning and artificial intelligence, while operating as steel producer to do so in order to reduce its reliance on imported slab for its Calvert, a Flex Mill™, allowing it to utilise an EAF to combine the best of integrated and minimill Ala, mill, but AK Steel, which has just been acquired by Cleveland-Cliffs, is less likely to steelmaking, including product mix, quality do so given its focus upon the auto sector. and environmental stewardship, which, he Earlier forecasts for the US EAF sector says, is what attracted US Steel, which has was for a fairly flat year in 2020 even as been adopting a “best of both” strategy, to it continues to gain market share from Big River. “We expect US Steel to accelerate integrated steelmakers, Anton says. But our growth and advancement even further given concerns about the impact of the into the very highest quality steels.” coronavirus upon both US and global “We aren’t pursuing our best of both economies, he says it could be worse than strategy because of the possibility of the was initially anticipated. “Still, it shouldn’t displacement of integrated production be anything to panic about.” � from the new EAF capacity coming online,”

“

”

Shipments

Exports

Exp %

2015

5,841

570

9.8%

2016

6,302

478

7.6%

2017

5,990

502

8.4%

2018

6,690

501

7.5%

2019

6,876

325

4.7%

Jan 2020

1.1%

44%

5.3%

2020F

6,306

358

5.7%

US structural steel market (‘000 Tons) Share %

One example is the 3Mt/yr Sinton, Texas, flat-rolled steel mill that Steel Dynamics expects to bring online by mid-2021, which Mark Millett, president and chief executive officer, pointed out during the company’s recent earnings conference call, will not only be able to produce higher strength, tougher grades of flat rolled steel given its two-stage hot rolling process that allows thermomechanical rolling, but will be capable of producing to 84-inch wide, 1-inch thick 100 ksi not available elsewhere. Nucor has also announced a greenfield project – a 1.2Mt plate mill in Brandenburg, Ky, that, once it comes on line in 2022 will be able to produce 97% of the plate products demanded in the US market, Leon Topalian, its president and chief executive officer, recently told investors. Also, Big River Steel, which, its president Dave Stickler points out has become known as a technology company that just happens to make steel, plans to double the flat-rolled sheet production capacity of its plant in Osceola, Ark, to 3.3Mt from 1.65Mt by the end of 2020, and is also moving forward April 2020

EAF Myra read MM.indd 3

www.steeltimesint.com

02/04/2020 12:11:23

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DRIVING INGENUITY

2/19/18 12:01 PM

ENVIRONMENT

We build circularity How old is your mobile phone? If you’re thinking about your current device, it’s likely that you change it every couple of years following the release of a fancy new upgrade. In reality, mobile telephones as old as the brick-like, antennae inventions of the 1980s, probably remain in landﬁlls. With many of our planet’s environmental issues linked to human consumption, it’s time to rethink our ‘takemake-dispose’ economy. Here, Mats W Lundberg* evaluates the circular approach TECHNOLOGY moves fast — even at the time of a new product launch, the next big thing is probably already in the pipeline. As a result, we’re creating mountains of obsolete devices that can take centuries before they begin to break down. Glass alone has no measurable decomposition period, meaning it can take over a million years before it degrades. The World Economic Forum (WEF) reports that 50Mt of electronic waste is produced each year which, if left unchecked, could rise to more than double by 2050. But it’s not just digital devices that are creating a backlog of waste. As urbanisation, industrialisation and population increase around the world, the amount of waste we generate continues to rise. But what if this didn’t have to be the case?

as metals and minerals as well as biological resources like food and ﬁbres. It requires a complete overhaul of product management. Instead of focusing on driving more volume, companies are rethinking products and services from the bottom up to future proof their operations across the entire supply chain. The foundation predicts that implementing the circular economy has the potential to deliver a 48% reduction in carbon emissions by 2030 and material cost saving of as high as US$700 million per year in the fast-moving consumer goods (FMCG) segment. Since 1862, circularity has been a part of what we do at Sandvik Materials Technology (SMT) – although that’s not what we called the process back then. At the time, it was more a question of resource

efficiency, as we would re-melt leftover scrap material during production. We still apply this ethos today, but the process has been fine-tuned and our products consist of 84% recycled material on average. More than sustainability But circularity doesn’t only benefit businesses from a sustainability perspective. With the introduction of any new process, advantages are often rendered useless if they do not also satisfy the needs of the business. A circular economy is capable of addressing both global sustainability challenges while achieving business value by taking care of an issue that no customer is ever thrilled to deal with – waste. Overseeing the entire lifecycle of a product gives the business greater control of their assets. This control means that the

Going full circle According to the Ellen MacArthur Foundation, a circular economy is “based on the principles of designing out waste and pollution, keeping products and materials in use and regenerating natural systems.” By employing reuse, sharing, repair, refurbishment, remanufacturing and recycling methods to create a close-loop system, circular systems minimise the use of new materials and keep products, equipment and infrastructure in use for longer. A circular economy covers a broad scope of areas including every industry sector, resources such * Sustainable business manager, Sandvik Materials Technology April 2020

SandvickFinal read MM.indd 1

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02/04/2020 10:42:09

ENVIRONMENT

company can effectively review its costs, while also improving spending for their customers who will beneﬁt from selling used products, helping the business create better and longer lasting relationships with customers. By recognising that a circular economy extends business value, those across the supply chain are able to understand the value of the model. Making the shift Circularity is nothing new for Sandvik Machining Solutions (SMS), as Lars Ederström, project lead for sustainability

SandvickFinal read MM.indd 2

and governance at SMS, explains; the business model and a buy-back programme has been in play since the 1990s. “In 2006, Sandvik Coromant launched a customer buy-back programme that allowed customers to return their used products so that we could recycle them and reclaim key materials such as tungsten and other rare precious metals”. The programme has since increased in volume and it is now a valuable process for SMS’s customers and its operations. “Our customers appreciate that we manage this end-of-life process for them,” Ederström says. “In addition to lightening the burden of managing used products, we are also helping our customers contribute to the circular system and make a real difference to the sustainability of our industry.” Our goal at Sandvik Group is to become more than 90% circular by 2030. To achieve this, we’ve recognised a number of areas where we can improve our

material management, including recycling steel and cemented carbide as part of a comprehensive buying back programme. Achieving this goal will be tough, even for us seasoned circularity veterans, but we’re ready to evolve a process that has been part of our DNA for the past 158 years. SMS will also be placing stricter demands on its suppliers of raw materials and packaging, requiring them to increase their use of secondary and recycled materials. This will help ensure that not only the division’s own products contribute to the circular economy, but the materials it purchases will also be based increasingly on used materials. It’s time to make the shift. A circular economy will not only help businesses achieve sustainability goals and make a real difference to our planet’s emission levels, but switching from a linear way of working will also help achieve real business value. Making the most of used products ultimately creates a whole new level to the supply chain and, who knows, maybe even our retro Nokia mobile phones could make their way back into the cycle. �

02/04/2020 10:42:16

Please visit us at METEC on 28.06-02.07.2011

SUSTAINABILITY

SAIL’s transition to low carbon emissions Steel is irreplaceable for current and future human society, but there is great potential for continuous innovations of properties and methods of production to reduce its carbon footprint. This article describes developments at India’s SAIL plants and also discusses the potential of nitrogen interstitial steels developed by SAIL. By B Khalkho, P Saravanan, S Dhara, S Kujur, S Kumar & V Kumar* STEEL is involved in every phase of our lives from housing, food supply and transport, to energy delivery, machinery and healthcare. Hence, steel enables economic growth and prosperity[1]. Today global population growths combined with improvements in standards of living result in the increased emissions of CO2. The Iron and steel industry accounts for 6.7% of global anthropogenic and 31% of industrial CO2 emissions[2]. Global carbon emissions from iron and steel production are currently around 2.8Gt per annum. The average for the integrated blast furnace – basic oxygen furnace (BF-BOF) route is about 2.3 tonnes of CO2 equivalent (equivalent takes into account other GHG emissions) per tonne of crude steel produced (tcs), while the electric arc furnace (EAF), when charged with scrap steel, produces about 0.4t and natural gas based Direct Reduced Iron (DRI) produces about 1.1t[3]. Climate conference During the Paris Climate Change Conference in December 2015, governments worldwide agreed that international climate policy should aim to limit the increase of global

2019

Fig 1. Regional share of crude steel production in 2018

mean temperature to less than 2°C[2]. The Government of India has pledged to cut the intensity of its carbon emissions by 33-35% and boost its renewable energy capacity to 40% by 2030 in its target submitted to the United Nations Framework Convention (UNFCCC) on Climate Change for a global climate pact[4]. Furthermore, the Government of India is a signatory to the Paris declaration thereby reaffirming its commitment for reduction of GHG

emissions and to adapt to the impact of climate change. In India, the UNDPGEF-MoS Project Energy Efficiency in Steel Re-rolling Mills (2004-2013) has been completed and implemented. It has facilitated low carbon technologies in 34 steel re-rolling mills (model units) to bring down energy consumption and reduce GHG emissions by 25-50%. This has helped in replicating energy efficient technological interventions in many other steel re-rolling mills[5]. Following in these footsteps, the Steel Authority of India Ltd (SAIL) emitted 2.56 t/tcs of CO2 during 2017-18[6]. This has been achieved due to the introduction of various clean technologies at its plants mainly during recent expansion/ modernisation projects as well as by using a breakthrough development that focuses on substituting the carbon in finished steel with nitrogen, an approach discussed later. Trends in CO2 emissions The past 50 years have seen a steady growth of total steel production. Global crude steel production reached 1869.9 million tonnes (Mt) in 2019, up 3.4% compared to 2018[7]. Asia produced

* The authors are with the R&D Centre for Iron and Steel, Steel Authority of India Ltd, Ranchi-834002 e-mail sarvan@sail.in, khalkhobhawna@sail-rdcis.com www.steeltimesint.com

Kumar read MM.indd 1

April 2020

03/04/2020 09:21:22

SUSTAINABILITY

1341.6Mt of crude steel in 2019, an increase of 5.7% compared to 2018. China’s crude steel production in 2019 reached 996.3Mt, up 8.3% on 2018. India’s crude steel production for 2019 was 111.2Mt, up 1.8% on 2018. Japan produced 99.3Mt in 2019, down 4.8% against 2018. South Korea produced 71.4Mt in 2019, a decrease of 1.4% compared to 2018. China’s share of global crude steel production increased from 50.9% in 2018 to 53.3% in 2019 (Fig 1). Fig 2 gives a simplified carbon balance for a typical integrated steel mill producing hot rolled coil (HRC). The major carbon sources are coal and limestone. The CO2 stack emissions are expressed as volume of CO2 emitted (kg/t of HRC) and CO2 concentration in the flue gas (volume %). The majority of emissions from BF/BOF production are direct (94%). The bulk of direct emissions (83%) relates to coking coal, and is classified as process emissions. The majority of emissions from scrap-based EAF production are indirect, associated with electricity consumption (80%)[8]. The CO2 emission intensities of Indian Integrated Steel Plants (ISPs) have been above the world average of 2.3t/tcs but is falling across all integrated steelworks. Figs 3 & 4 compare the GHG emissions of different Indian ISPs, as total CO2equivalent (taking into account all GHG emissions). Emissions ranged between the world average of 2.3t CO2/tcs to 2.77t CO2/tcs in FY 2017-18. SAIL’s sustainability method Sustainable development includes environmental, societal and economic aspects as shown in Fig 5. Keeping all three in balance is the key to making steel a sustainable product. Fig 6 shows Life Cycle Thinking which defines steel’s circular economy and hence promotes sustainability. A circular economy is fundamental to the triple-bottom-line concept of sustainability, which defines the 3Rs: Reduce, Reuse and Remanufacture[9]. • Reduce: Reducing the weight of products through innovative research has reduced the amount of raw materials and energy required to make steel while maintaining its strength and functionality. • Reuse: Because of its durability, steel can be reused with or without remanufacturing. • Remanufacture: Automotive engines, wind turbines, and others can be April 2020

Kumar read MM.indd 2

coal = 1710 kgCO2 limestone = 105 kgCO2

72kWh 138 kg scrap 288kg 5-10% CO2 BF gas CO2 coal 12 kg limestone 133 kg

329kg 25% CO2

blast furnace hot blast

coal 187 kg

coke

57 kg 30% CO2 CO2

1255 kg CO2-e in

total CO2 emission: 1815 kg/t rolled coil 709kg 20% CO2 CO2

CO2 stoves

power plant 84 kg 10% CO2

CO2

285kg 25% CO2 CO2

hot strip mill

lime kiln

coke oven gas coke plant

limestone 109 kg

coal 302 kg

converter gas

flares, etc 63 kg steel plant

Carbon-bearing materials CO2 emissions expressed as volume (kg/t rolled coil) and concentration in flue gas (vol %)

Fig 2. CO2 emissions from an integrated steel plant

remanufactured for reuse to take advantage of the durability of steel components. Remanufacturing restores used products to like-new condition. SAIL’s reduction in GHG As a measure towards reducing CO2 emissions and to achieve higher energy efficiency, SAIL plants have adopted low carbon use technologies and facilities by introducing various clean technologies at its plants, mainly during recent expansion and modernisation projects. Notable among them are: Coke dry cooling, top pressure recovery turbine (TRT) at blast furnaces, 100% continuous casting, waste heat recovery from blast furnace stoves, a sinter cooler and a natural gas fired power plant. Between April to December, 2016, highlights of compliance to National/CPCB/ SPCB norms and regulations were[6]: • Stack Emission: Particulate matter (PM) emissions at all major production shops were meeting the respective norms. • Fugitive Emissions: Fugitive emissions from coke oven batteries, blast furnaces and basic oxygen furnaces were within the norms. • Ambient Air Quality: This remained within the norms. • Effluent Discharge Quality: This was well within the norms. SAIL has reduced CO2 emissions by 11% over the past eight years (Fig 7)[10] by adopting clean technologies, some of

which are discussed below. Raw materials Advanced ore beneficiation: Low-grade ores, with an iron content below 58%, are now used after beneficiation, resulting in an increase in mine life and a reduction of waste, thereby reducing the need for additional land to dump waste. Techniques such as dredge mining from slime pond, alternate use of banded hematite quartzite (BHQ) in blast furnaces and recycling of waste materials has been used and has proven results in reducing consumption of iron ore per tonne of hot metal produced. Beneficiation is confined to the ore fines of the Dalli-Rajhara mine[11], other mines simply washing the ore. Pelletising micro-fines and tailings: Pelletising requires grinding of raw material with a binder, balling and induration to produce green balls. This produces much lower emissions compared to sintering. Charging pellets into blast furnaces improves performance as pellets are characterised by good reducibility, good bed permeability, lower heat consumption during manufacture compared to sinter, uniform chemical composition and very low loss on ignition (LOI)[11]. Coke making Tall coke ovens using computerised combustion control and coke dry quenching: The new 7m tall coke oven www.steeltimesint.com

03/04/2020 09:21:23

SUSTAINABILITY

battery installed at Bhilai Steel Plant (BSP) will enhance the plant’s coke making capacity by 0.88Mt/yr. The site is equipped with an environment-friendly coke dry cooling plant that will facilitate better pollution control and provide energy recovery from the hot coke, besides improving coke quality. The eco-friendly unit includes a high degree of process automation and has state-of-the-art waste heat recovery and de-dusting facilities[12]. Sinter production Waste heat recovery from sinter coolers: Waste heat from the sinter cooler is used to preheat the combustion air for the sinter ignition furnace, heat the post-heat hood for pre-heating the raw sinter mix and for steam generation. This is implemented at Bhilai Steel Plant (BSP), Rourkela Steel Plant (RSP) and IISCO Steel Plant (ISP) and has resulted in a reduction of energy consumption of 156MJ/t of gross sinter (ie includes recycled sinter fines) and a reduction of CO2 emission by 8kg/t of gross sinter[13]. Improved ignition oven efficiency: A curtain flame ignition furnace, as compared to conventional side burners, provides much better heat utilisation, thus reducing the furnace gas requirement by 50%. This in-house developed technology is used at Bokaro Steel Plant (BSL), Rourkela Steel Plant (RSP) and Durgapur Steel Plant (DSP). The benefits are a reduction of energy consumption by 15MJ/t of gross sinter and a reduction of CO2 emissions by 0.8kg CO2/t of gross sinter[13]. BF iron production Top pressure recovery turbine: The TRT converts the physical energy of high

pressure blast furnace top gas into electricity by using an expansion turbine. This is being used in ISP and RSP. The expected benefits are a reduction in energy consumption by 108MJ/t hot metal and a reduction in CO2 emissions by 5.5kg CO2/t hot metal[11]. BF stove waste heat recovery: Using the recovered waste heat from the stoves used to pre-heat the blast furnace air blast to preheat the stove’s combustion air and fuel gas reduces the amount of fuel gas used in the stoves. This system is being introduced in RSP. It is estimated that it will reduce energy consumption and, therefore, CO2 emissions by 300MJ/t and 15.4 kg CO2/t of hot metal respectively[13]. Steelmaking Maximising BOF gas recovery: Generating steam by recovering the sensible heat of the BOF gas, which exits the converter at 1600-1800°C, is being implemented at ISP. The expected benefits of this system are a reduction of energy consumption by 920MJ/t crude steel and reduction of CO2 emissions by 4.7kg CO2/t crude steel[13].

BOF combined blowing: This is the introduction of a small amount of Argon into the bottom of the converter via porous plugs to provide mild stirring of the bath during and after top blowing with oxygen. This increases the O2 blowing efficiency and reduces the number of re-blows necessary. Combined blowing is being followed at BSL, RSP and BSP. A reduction of energy consumption by 140MJ/tcs and a reduction of CO2 emissions by 7kg CO2/tcs is achieved using combined blowing[13]. Reheat furnaces Walking beam reheating furnace: In the reheating furnaces, thermal efficiency and uniform heating play an important role in the reduction of energy cost and in minimising metal defects. The walking beam reheating furnace has been developed to achieve a low specific fuel consumption of about 1255.23MJ/t and with scale losses limited to 0.6%, achieved by bringing operational improvements to the furnaces[14]. Product development The substitution of carbon by nitrogen as

Fig 3. CO2 emissions in tonnes per tonne cast steel from India’s publicly owned steel plants 2017-18

Fig 4. CO2 emissions in tonnes per tonne cast steel from India’s major privately owned steel plants 2017-18

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SUSTAINABILITY

an interstitial element in steel metallurgy is of considerable interest, because, compared to carbon, nitrogen has two distinct advantages: (i) A higher maximum interstitial solubility in ferrite (0.1 wt%) and in austenite (2.8 wt%), leading to a higher solid-solution strengthening effect in ferrite[15–19] and higher austenite stability[15–18, 20], respectively (ii) A lower eutectoid temperature (592°C) leading to substantial savings in energy consumption during heat treatments. For these reasons, high nitrogen steel (HNS) was recently developed in SAIL’s Research and Development Centre for Iron and Steel, (RDCIS) at Ranchi. Interstitially-alloyed HNS: Fe-N alloys are regarded as novel, promising new classes of futuristic materials. Nitrogen is similar to carbon in many ways: - It is next to carbon in the periodic table of elements (atomic number of nitrogen is 7 and that of carbon is 6). - Both have similar atomic radii (in picometres N is 65pm against 70pm for C). - Both exist as interstitial solute atoms in steel. - The Fe-N and Fe-C phase diagrams are strikingly similar at the eutectoid transformation point (γFe αFe + Fe3C/ γ’ -Fe4N). - The Fe-N alloy system offers stability of the same phases as the Fe-C system, viz. ferrite, pearlite, austenite and martensite. - Both cause yield point elongation (YPE) and strain ageing (SA) in steels. Solubility of nitrogen: In body-centred cubic (bcc) iron (αFe) at 20°C the solubility of N is at least twice that of carbon and increases to five times greater at the eutectoid temperature 592°C[21], resulting in a decrease in tendency for precipitation at a given level of strengthening[22]. Therefore, nitrogen as an interstitial atom for strengthening iron and its alloys is superior to carbon. The limited solubility of N in liquid iron (0.044-0.045 wt% at 1600°C and 1 atm)[23-25] can be enhanced by effective alloy design. Additions of V, Nb, Cr, Mn and Mo to liquid iron are reported to increase the nitrogen solubility. The adsorption/dissolution of nitrogen obeys Sievert’s law[25]. ½ N2 (gas) = N (dissolved in liquid iron) (i)

SOCIAL Social Life Cycle Assessment (SLCA) SUSTAINABILITY ENVIRONMENT ECONOMIC Life Cycle Life Cycle Costing (LCC) Assessment (LCA)

Fig 5. The three pillars of sustainability

Fig 6. Life cycle thinking

%N (dissolved) µ

√

(atm)

(for pressures up to 1 atm at 1600°C)

(ii)

Merits of alloying nitrogen in steels: High nitrogen steels are widely recognised in improving material properties such as strength, toughness, low cycle fatigue resistance, high temperature creep strength, wear resistance and, above all, resistance to corrosion pitting, crevice corrosion and stress corrosion cracking (SCC). Manufacture & characterisation of HNS To determine the feasibility of producing high N steel, plasma nitriding was carried

out in the laboratory on low carbon steel to understand the solubility of N in steel and its effect on properties. The study revealed that it is possible to achieve a conventional looking ferrite-pearlite microstructure on the surface of low carbon steels by plasma nitriding in a glow discharge nitrogen plasma at between 400-450°C. The ferrite, formed during treatment, is an interstitial solid solution of nitrogen in bcc-iron αFe(N) and the pearlite thus produced is labelled nitrogen pearlite, a replica of carbon pearlite, and is composed of α-ferrite and the γ’-Fe4N nitride eutectoid with a granular micro-morphology (Fig.8). Nitrogen pearlite, unlike its carbon counterpart, is more corrosion-resistant to aqueous chloride and reducing acid environments. This is attributable to the tendency of nitrogen to form ammonium ions, resulting in buffering and an increase of pH at the corroding steel surface leading to passivation. Melting and casting laboratory scale experimental heats of high nitrogen steels were made, each containing 0.3 or 2% Mn, alloyed to form: Fe-Mn-N: Fe-Mn-Cr-N and Fe-Mn-Mo-N. From these studies it was concluded that it is feasible to produce steel ingots as ternary or quaternary ironnitrogen (Fe-N) alloys consistently with 500ppm level of nitrogen, albeit with some porosity/ blowholes in the cast ingots, which may lead to yield losses. In these alloys it is possible to attain yield and tensile strengths of 267-310MPa and 369-454 MPa, respectively in the hot-rolled condition with total elongations of 33-39% employing bimodal grain size distributions through intercritical rolling. It is possible to alleviate the deleterious effect of nitrogen on strain ageing through judicious alloying with manganese. Mn additions of 2.3wt% are found to reduce the strain ageing index to as low as 5-6% in high nitrogen steels with 456-512ppm N. In ternary or quaternary iron-nitrogen alloys with 433535ppm N, the N partitions itself partly as

Percentage reduction over previous years

Reduction in speciﬁc CO2 emissions % Fig 7. SAIL’s reduction in CO2 emissions 2010 to 2016 (%)

April 2020

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03/04/2020 09:21:27

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SUSTAINABILITY

Ferrite microstructure of base steel

Increasing N concentration

Ferrite microstructure of base steel

Nitrogen-enriched ferrite

Surface of steel

Diffusion zone Nitrogen-enriched ferrite

Austentite

Diffusion zone Compound layer

Compound layer

Nitrogenenriched ferrite (Diffusion zone)

Fig 8. Optical micrographs of test steels plasma nitrided at various temperatures x500 Left to right – 500°C; 450°C and 400°C nitride surface at bottom

interstitially-dissolved solute in ferrite and partly as γ’-Fe4N in nitrogenated (or ‘false’) pearlite, which is a eutectoid product in a Fe-N alloy system (Fig. 9). Conclusion Steel is an irreplaceable material for the current and future human society, and there is great potential for continuous innovations of the material’s high strength, toughness and long service life, enabling it to contribute to a low-carbon society. SAIL’s initiative of adopting clean technologies and innovative product development has reduced CO2 emissions by 11% since 2010. It is safe to presume that nitrogen may acquire a pivotal role both as an alloying element and a useful substitute for carbon in high nitrogen steels and hence promote increased sustainability.

5 Annual Report, Ministry of Steel, 2017-18, Government of India, page 69 6 Annual Report, Ministry of Steel, 2018-19, Government of India, page 71 7 https://www.worldsteel.org/media-centre/ press-releases/2019/Global-crude-steel-outputincreases-by-4.6--in-2018.html 8 Anne Carpenter,CO2 abatement in the iron and steel industry, CCC/193 ISBN 978-92-9029-5136, January 2012, p 17 9 https://www.worldsteel.org/steel-by-topic/lifecycle-thinking.html 10 https://www.sail.co.in/sites/default/files/ Climate_Change.pdf 11 Managing Iron Ore Fines of Dalli – Rajhara for

Improvement in Yield, S K Raja, AGM, CET, Bhilai, S Manoj Kumar, Sr Mgr. (Mines-Project), BSP SAIL CET Bhilai 12 https://www.sail.co.in/sail-press-release/ secretary-steel-inaugurates-new-sinter-plant-andcoke-oven-battery-bhilai 13 Sustainability of Steel in the Transition to a Low Carbon Economy, Subhra Dhara, Somnath Kumar 14 A Review On: Efficient Energy Potimization In Reheating Furnaces, Sri P K Tkakur, Sri K Prakash,SriK G Murlidharan,V Bhal,SriS.Das, http://www.iraj.in/journal/journal_file/journal_ pdf/2-111-142297075818-24.pdf 15 Kunze J, “Nitrogen and carbon in iron and steel thermodynamics”. Akademie-Verlag (1999), Berlin. 16 Kunze J, Steel Res, 57(1986), p.361. 17 Agren J, Metall Trans A, 10A(1979), p1847. 18 Hillert M and Jarl M., Metall Trans. A, 6A(1975), p553 19 Pickering F B, Tisco 27(1980), p105. 20 Bell T and Owen W.S., J Iron Steel Inst (1967), p428. 21 Honeycombe R W K, Steels- Microstructure and Properties, Edward Arnold, London, 1981, p 1. 22 Kikuchi M, Kajihara M, Frisk K, in: J Foct, A Hendry (Eds), High nitrogen steels HNS 88, Proc Intl Conf, The Institute of Metals, London, 1989, p63. 23 Pehlke R D and Elliott J F, Trans Met Soc AIME, Vol 218 (1960), pp 1088-1101. 24 Wriedt H A, Gokcen N A and Nafziger R H, Bull Alloy Phase Diagram, Vol 8 (1987), p 355. 25 Bowker M, Topics in catalysis 1(1994), J C Baltzer AG, Science Publishers, pp 265-271.

References 1 Xiaogang Zhang, Dr Edwin Basson, Sustainable Steel at the core of a green economy, 2012, page no. 4, 8, https://www.worldsteel.org/ 2 Volodymyr Shatokha, European Journal of Sustainable Development Environmental, Sustainability of the Iron and Steel Industry: Towards Reaching the Climate Goals, ISSN: 22395938 (October 2016) 3 http://energy-transitions.org/sites/default/files/ ETC_Consultation_Paper_-_Steel.pdf, Material Economics, 2018, The Circular Economy, a powerful force for climate mitigation p.7 4 https://www.businesstoday.in/current/economypolitics/india-commits-33-35-per-cent-cut-incarbon-intensity-by-2030/story/224337.html April 2020

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Fig 9. Scanning electron micrographs of experimental high nitrogen steels Ferrite (αFe) grains with minor formation of granular nitrogenated or ‘false’ pearlite (eutectoid mixture of αFe and γ’¢Fe4N): [a] Alloy Fe-Mn-N (Heat1); [b] Alloy Fe-Mn-Cr-N (Heat1); [c] Fe-Mn-Mo-N; [d] Alloy Fe-Mn-N (Heat2); [e] Alloy Fe-Mn-Cr-N (Heat2)

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03/04/2020 09:21:29

FURNACES

JSC Pervouralsk’s roller hearth continuous furnace

Tenova LOI roller hearth furnace for stainless steel

Tenova LOI Thermprocess was awarded an order from Russian steelmaker JSC to deliver and install a roller hearth continuous furnace for a pipe plant in Pervouralsk in Russia. The new equipment will be used as part of the process to produce bright annealing stainless steel tubes in a 100% H2 atmosphere. By Erik König* TENOVA LOI Thermprocess is a specialist, within Tenova, for customer-specific heat treatment lines and a leading global manufacturer of roller hearth furnaces under protective gas atmosphere. It has recently received an order for a fully continuous heat treatment plant under 100% hydrogen for stainless steel tubes from JSC PNTZ in Russia. JSC Pervouralsk Pipe Plant is a subsidiary within the ChelPipe Group and specialises in the production of stainless steel tubes for a wide variety of industrial uses. Tenova LOI Thermprocess roller hearth furnaces for the heat treatment of tube material are suitable for the continuous production of larger throughputs. The plant layout is designed without vacuum or purges lock in 100% hydrogen operation. Special automatically movable curtains ensure the sealing of the furnace atmosphere instead. Furthermore, uniform heating by recuperative burners inside high temperature ceramic radiant tubes, a definable holding time and subsequent material-specific cooling characterise the flexibility of this type of furnace. The high temperature uniformity and low energy consumption of these systems ensure

reproducible processes, which can be adapted to the desired heat treatment of the material. The drive sections can be optimally matched to the respective annealing process. The roller hearth furnace is designed for 2 t/h and can heat-treat a peak capacity of 2.7 t/h under 100% hydrogen depending on the product. The plant combines a state-of-the-art heat treatment system with the latest safety technology and data management systems. Annealing of these austenitic stainless steel and nickelbased alloy tubes is carried out in the temperature range of 750 °C to 1,200 °C. The particularly high cooling gradient of at least 5 K/sec directly after the soaking time, starting from at least the material temperature of 900° C to 500° C, is of

decisive importance for the material quality. The rapid cooling system, therefore, follows the furnace end in the immediate surrounding, without the use of a furnace outlet neck. Another special feature of this furnace plant is its ability to adjust the dew point. This adjustment is necessary to realise a heat treatment of duplex and super duplex steels. While most other stainless steels can be annealed at a particularly low dew point, the dew point for super duplex and duplex stainless steels is raised to a higher level to prevent the tubes from ‘sticking together’ during annealing. In addition to the equipment, the scope of delivery also includes installation and monitoring of commissioning by specialists from Tenova LOI Thermprocess. �

Tenova LOI roller hearth furnace for stainless steel pipes and tubes

* LOI Thermprocess GmbH, Essen Germany, erik.koenig@tenova.com, LOI Thermprocess GmbH, Am Lichtbogen 29, 45141 Essen, Germany www.steeltimesint.com

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02/04/2020 14:47:54

PLANT SAFETY

Steel Safety Day Steel Safety Day is one of the World Steel Association’s most important initiatives. Established in 2014, it was set up to reinforce awareness of the top ﬁve causes of serious safety incidents in the steel industry – moving machinery, falling from heights, falling objects, on-site trafﬁc, and process safety incidents. It takes place on 28 April every year and is aligned with the International Labour Organisation’s World Day for Safety and Health at Work. By Andrew Purvis* PROTECTING the safety and health of everyone who works in or around the steel industry is of vital importance to all our members. The duty of care and social responsibility demands that everyone is able to work in a safe and healthy work environment. The World Steel Association (worldsteel) produces up-to-date guidance, data analysis and procedures freely available to members to help the steel industry deliver on its key mission to eliminate harm and manage working environments to the highest standards of safety and health conditions. The World Steel Association (worldsteel) requests and encourages that all steelmakers carry out site-wide safety audits either shortly before or on the day itself. Involving all employees and contractors in audits will support companies in reaching the ultimate target of zero harm: an injury-free and healthy workplace. Injuries and occupational illnesses must not be considered a normal part of our industry. The day is an occasion to collectively take stock and take a close look at our most important priority. Safety and health should be included in all new and existing business processes: managing assets, production, projects and administration. When safety and health are consistently brought to the forefront of business decisions and processes, people develop an appreciation for the importance of the topic, understand what is expected of them and have the knowledge to work safely. This year we focus our energy on Process *Andrew Purvis, Director Safety, Health and Environment (purvis@worldsteel.org). April 2020

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Safety Management (PSM). Process Safety Management is deﬁned as a blend of engineering, operations and management skills focused on preventing catastrophic accidents, especially structural collapse, explosions, ﬁres and toxic releases associated with loss of containment of energy or dangerous substances such as toxic gases, molten metal, chemicals and

petroleum products. Potentially dangerous substances and stored energy can be found across our industry, in production, distribution, storage, utility or pilot plant facilities used in the manufacture of steel products and co-products. This includes process equipment (reactors, vessels, piping, electric arc furnaces, blast furnaces, coke ovens, boilers, pumps, compressors,

Ensure all on-site trafﬁc – road,

Isolate, lock or pin all energy

rail, pedestrian – operates safely

sources before any machinery is

and remove all unnecessary trafﬁc

accessed

Ensure regular checks are

Provide regular

in place to remove or secure

training, appropriate

objects in risk areas

harnessing equipment and ensure checks are in place when working at heights

Identify potential process safety hazards that could cause explosions or ﬁres and take adequate precautions

Fig. 1

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PLANT SAFETY

TIER 1 – a loss of primary containment (LOPC) – an unplanned or uncontrolled release of material e.g. fires and explosions causing lost time injuries or fatalities and having a serious environmental impact on the local community. It also includes LOPC of non-toxic and non-flammable materials e.g. steam, hot water, nitrogen, compressed CO2 or compressed air. TIER 2 – is LOPC with lesser consequences e.g. fires and explosions causing a recordable injury or financial impact (within organisationsl tolerance levels) or environmental impact or low harm to the community or reputation.

Fig. 3

TIER 3 – Typically represents a challenge to the barrier system and near misses e.g. deviations in safety operational limits, potential loss of containment. Near misses related to process safety. TIER 4 – Typically represents performance of individual components of the barrier system and are comprised of operational discipline and management system performance. Fig. 2

“Manufacturing steel involves processes with instrinsic hazards that need

”

careful management Andrew Purvis

exchangers, cooling towers, refrigeration systems etc.), storage tanks, ancillary support areas (e.g. waste water treatment plants), on-site remediation facilities and distribution piping under the control of the company and contractors. (Fig. 1) Manufacturing steel involves processes with intrinsic hazards that, of course, need careful management. These measures need to take into account not only the safety of the people working in the company, but the www.steeltimesint.com

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local community. PSM management differs from occupational safety in that its primary focus is hazards have a low probability of taking place, but are highly serious if they do. We have strongly advised our members the TIER 4 Framework adoption similar to API RP 754 from petroleum industries (Fig. 2). The World Steel Association has developed six process safety fundamentals, which encourage steelmakers to take a riskbased strategy:

• Ensure there is a commitment to Process Safety Management • Establish a hazard and risk analysis programme • Implement and maintain a risk management and control system • Strive for excellence in learning from experience • Utilise continuous improvement to ensure Process Safety Management effectiveness • Maintain a sense of vulnerability in Process Safety Management. A risk-based approach, focused on management and control helps organisations to operate and maintain safe and stable processes, ensuring risk mitigation, management of change and keeping the risk tolerable. It also ensures the workplace is prepared in the event of an emergency. In 2019, 840 sites from 50 companies where a total of more than 975,000 employees and contractors were working carried out a Steel Safety Day audit. Participants in the audit included people from every level – cleaners, shop ﬂoor operators, managers and CEOs. Safety data collected by participating companies show that the steel industry has seen a steady and notable reduction in the Lost Time Injury Frequency Rate (LTIFR) in recent years. This is any work-related injury, resulting in the company, contractor, or third party contactor employee not being able to return to work for their next scheduled work period. The injury rate per million hours worked has decreased from 4.55 in 2006 to 0.84 in 2018, a reduction of 82%. (Fig. 3) To ﬁnd out more about Steel Safety Day or other worldsteel safety initiatives visit worldsteel.org or contact Andrew Purvis, Director Safety, Health and Environment (purvis@worldsteel.org). � April 2020

02/04/2020 14:54:30

PERSPECTIVES: RYDER

Solutions to any challenges It’s all about data and moving toward a more predictive supply chain, says Ryan Martin*. He argues that customers want real-time analytics and business intelligence to help them make more informed decisions, as well as tools to address exceptions in their supply chain pro-actively, rather than reactively.

1. How are things going at RYDER? Is the steel industry keeping you busy? Things are going very well for us at Ryder as market trends continue to favour the outsourcing of supply chain and dedicated transportation solutions. It’s especially true for highly specialised industries like steel and metals – one of our fastest growing verticals – where recruiting, training, and retaining qualified drivers and other labour is increasingly difficult. Ryder shoulders that responsibility, as well as safety and liability concerns, so that our customers can focus on what they do best.

a customised solution that consolidated three warehouses into one, reducing energy consumption and minimising miles driven. The centralised location, combined with Ryder’s expertise in efficient inbound and outbound route engineering, has reduced mileage by 520,000 miles annually, which equates to a decrease in CO2 emissions of 208 metric tons.

2. In which sector of the steel industry does RYDER mostly conduct its business? We do it all. Bring us a challenge, and we’ll custom design a solution. It’s what we’ve been doing for more than 86 years. 3. In your dealings with steel producers, are you finding that they are looking to companies like RYDER to offer them solutions in terms of efficiency and sustainability? If so, what can you offer them? Absolutely. As a transportation solutions provider, it’s Ryder’s job to focus on efficiency and sustainability as ways to reduce costs while keeping service levels high. A big part of that is enabling our customers to flex their fleets and operations, in response to seasonal and market changes. Ryder also employs LEAN methodologies to eliminate cost and waste in every aspect of the supply chain, from procurement of raw materials to the shipment of finished goods. Recently, we employed these methodologies to help a customer deliver on its commitment to minimise its carbon intensity by 50% by 2025. Ryder developed

4. As a transporter for the steel industry, how is Ryder helping its customers respond to ‘green politics’? At Ryder, we have helped more than 70 customers across multiple industries convert to newer fuel technologies. We have also helped pave the way for greater adoption of alternative-fuel vehicles by serving as a maintenance and distribution provider for Nikola’s hydrogen fuel cell semi-trucks and Chanje and Workhorse’s commercial electric vehicles. Additionally, Ryder has achieved for its customers more than 200 million miles with its natural gas fleet operations,

eliminating more than 50,688 metric tons of the carbon dioxide equivalent (MTCO2e) of greenhouse gas emissions. 5. Where do you see most innovation in terms of supply chain technologies? It’s all about data and moving toward a more predictive supply chain. Customers want real-time analytics and business intelligence to help them make more informed decisions, and they want the tools that enable them to address exceptions in their supply chain pro-actively, rather than reactively. That’s why Ryder is making substantial investments in these kinds of innovative cloud- and mobile-based technologies that support a fully optimised supply chain with end-to-end visibility and, ultimately, greater speed-to-market performance. 6. Where does RYDER lead the field in terms of transportation and technology solutions for the steel industry? We continually source and invest in innovative technologies such as RyderShareTM, a platform focused on realtime visibility, collaboration, and exception management at every step in the supply chain, in order to maximise efficiencies for our customers; RyderGydeTM, the only fleet app of its kind that allows fleet managers and drivers to easily manage their fleets from one device; and, COOP by RyderTM , the first-of-its-kind peer-to-peer lending platform for commercial vehicles. 7. RYDER is headquartered in the USA. What’s happening steel-wise in the country? Currently, truck capacity is a concern for many in the steel and metals industry in

* Senior director, Ryder Dedicated Transportation Solutions. April 2020

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PERSPECTIVES: RYDER

the USA. Loosening capacity means spot market rates are down 20% on average, which can be a tempting proposition for shippers, despite inherent volatility. On the other hand, a tougher pricing environment means trucking company failures are rising at an alarming rate. In the first half of 2019, approximately 640 carriers went out of business. That’s up from 175 for the same period last year, and it’s more than double the total number of failures in 2018, according to transportation industry data firm Broughton Capital. That has the steel and metals industries talking about truck capacity, an area of particular concern for shippers that require specialised equipment and highly trained labour to reliably make time-critical deliveries. These shippers can’t afford to roll the dice on the spot market in the longterm. They need guaranteed truck capacity with safe, reliable drivers at predictable, competitive rates. 8. How do you view RYDER’s development over the short-tomedium term in relation to the global steel industry? Ryder will continue to grow its market share, as the service we provide is critical to

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customers in this space. Driver recruitment and retention for specialised steel jobs are only getting more challenging, and Ryder provides a turnkey solution that eliminates that pressure while saving companies an average of 25% on their overall transportation spend. 9. Apart from strong coffee, what keeps you awake at night? Red Bull and my three- and five-yearolds. Mostly, it’s the desire to ensure my customers are sleeping soundly by taking the transportation and logistics challenges

off their plates, so they can focus on what they do best. 10. If you possessed a superpower, how would you use it to improve the global steel industry? I would need a cape. I wish every day that I could instantly transport people to one of our operations to experience the seamless partnership that exists between the Ryder team and the customer team. They become one cohesive team working toward the same goal. It’s truly remarkable, and something you have to experience. �

April 2020

02/04/2020 11:09:25

HISTORY

Sussex ironworking: Parliamentary emissaries question the King’s gunfounder A painting by Louis Ginnett (ROI) produced some time between 1913 and 1927

The King’s gunfounder The Weald of Southern England was the centre of the armaments industry from the late 16th century and throughout most of the 17th century, supplying ‘cannon’ and shot to the Government, merchant ships and even foreign powers. By Tim Smith* A dynasty of Gunfounders had been given the monopoly to supply guns to the Crown from the time of Elizabeth l (reigning 15581603). At the outbreak of the English Civil War, (1642-1651), the ill-fated Charles l was king. He led an army of ‘Royalists’ against the Parliamentary troops (Roundheads) in an attempt to establish ultimate power over his subjects. He was defeated, and beheaded in 1649. At the start of the Civil War, John Browne was the King’s Gunfounder, supplying ordnance to the King from his furnaces in Kent and Sussex, the centre of ironmaking at that time. However, these counties came into Parliamentary hands early in the conflict and Parliament summoned John Browne to appear before them so that his ‘position’ could be made clear. John Brown had little choice but to supply ordnance to the Parliamentary forces. John’s new allegiance was questioned following the victory of Parliament forces at the battle of Naseby in June 1645, when compromising letters were said to have been seized implying Browne was ready to again supply the Royalists. As a consequence, he was imprisoned in the Tower of London. But Browne was

the sole competent founder of ordnance in the whole of Britain, so when the Parliamentary forces required guns to arm three new frigates they reluctantly released Browne after six-months. He accepted an undertaking to supply only Parliament and negotiated a lucrative contract to cast 86 guns of various sizes for the ships. A regular supply of guns was an important factor in times of war as guns had a finite life requiring replacement at regular intervals. It is suggested the life of a heavy gun was just 40 shots and lighter guns, 55. Certainly, records show that at each new war, the government placed orders for several thousand guns of varying sizes, indicating a need for regular replacement. As the King’s Founder, John Browne had been given the monopoly to supply ordnance and shot to the Government, but not to merchant shipping, an important market in times of peace, when demand for guns from the Government dried up. Also, John Browne expressed the need to be able to cast the smaller guns, required by the Merchant Navy, prior to larger guns, as the furnace hearth needed to be eroding sufficiently to hold enough iron to cast ‘great’ guns.

By 1645, John Browne was operating three furnaces casting whole and demiculverins. These were lighter than ‘cannon’ which, in the 17 century, strictly applied only to guns firing 66-pound (30 kg) shot – a gun not made on the Weald where the demi-cannon was the largest gun cast, firing a 32 lb (14.5 kg) ball. A culverin fired 18 pound (8.2 kg) shot and was 10’ 11” (3.3 m) long with a 5.2” (13.2 cm) bore and weighed around 4,840 lb (2.19 tonne). A demi-culverin fired 8 pound (3.6 kg) shot, had a 4” (10.1 cm) bore, a length a little over 10’ (3 m) and weighed around 3,400 lb (1.54 tonne). Browne also cast guns in bronze, preferred for shipboard use as it was a lighter gun. Since the density of tinbronze is 7.4-8.9g/cm3 compared to 6.6g/ cm3 for grey (graphitic) cast iron, casting in bronze implies a thinner wall thickness and/ or shorter gun, compared to an iron gun. The cost of bronze guns was some 270% more than cast iron, a high price to pay for a lighter gun. In an attempt to produce lighter guns in iron, John Browne developed the ‘drake’ in which the bore at the breech end was tapered to provide thicker metal where the greatest forces were experienced on igniting the charge. He also offered guns in which the surface had been machined on a lathe to impart superior strength. This is logical as, on firing, the gun experiences a tensile hoop stress around its circumference and this stress is greatly magnified at any sharp defects on the surface of the gun causing cracks to propagate. However, the additional cost of these guns, and the limits of turning such guns on a lathe, did not warrant the increase in life obtained and soon the government declined to buy them. Some years later, in the 1670-80s, Prince Rupert – the nephew of the ill-fated Charles I – further advanced the process producing ‘turned and neil’d’ guns in which not only was the outer skin removed on a lathe, but the whole gun was heated in a furnace for a month or more (annealed) to spherodise the internal flakes of graphite thereby preventing them from being internal stress raisers. Annealing would also relieve stresses built up during solidification of the casting. Again, because of the additional cost without producing significantly better guns, the process was discontinued. �

*Secretary of Wealden Iron Research Group April 2020

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02/04/2020 11:11:28

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