10/1/2010 3:06:00 PM
NEWS BRIEFS
Taiwan’s China Steel Expanding High-End Wire Rod Supply
Worries about supply shortages prompted China Steel Corp. of Taiwan to expand its production of high-end wire rods to displace imports of such steel, Taiwan Economic News reports.
China Steel subsidiary Dragon Steel Corp. has reportedly activated its newest blast furnace to raise its maximum steel output to 2.5 million metric tons a year.
In conjunction, Dragon Steel has had its electric arc furnace originally set for production of steel billets switched to steel wires and rods” in line with China Steel`s strategy of boosting production to replace up to one million metric tons of imported wire rods,” according to the Economic News.
“After the electric arc furnace, which could turn out 600,000 tons of section steel and 400,000 tons of steel billets a year in the past, is set for steel wires and rods, Dragon Steel is expected to further boost its annual output of low-carbon steel wires and rods to 100,000 metric tons, which, in other words, will allow China Steel to allocate some of its existing capacity for higher-end wire rods,” writes reporter Steve Chuang.
Taiwan fastener makers looking to become exclusive suppliers of aerospace and automotive fasteners reacted positively to China Steel’s decision, boosting by a reliable supply of high-end wire rod.
In the third quarter of 2010 Taiwan fastener manufacturers ordered 236,700 metric tons of wire rod — about 54% of the overall total, representing a three-year high. ©2010 GlobalFastenerNews.com
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