Production of cast steel increases 40%

The recovery of the investments in railroad transportation in Brazil and the world heating in the mining industry are supporting the increase of cast steel production, according to Luiz Carlos Koch, president of the Brazilian Foundry Association (Abifa).

“The demand of these sectors enabled the steel foundries to invest, and these investments matured along the last two years. According to president, the production of cast steel should reach 270 thousand tons in 2005, an increase of 40% over last year. Total production should grow up to 5%, with the record of three million tons and revenue of R$ 4,5 billion.

Vicente Abate, sales and Marketing director of the wagons steel and manufacturer foundry Amsted Maxion , defends the same position. The great mining companies and the carriers of railroad transportation are investing and it is increasing the production related to that kind of transportation, as the mining, the metallurgy, the grains, besides the use for load in general.

Without revealing the growth perspective of the company, Abate reveals that Maxion should produce 6.500 wagons in 2005, more than the 4.225 produced in 2004 and 2.028 manufactured in 2003. The company produces cast parts used in the wagons, supplies for competitive assemblers and also for its mining sectors, machines for civil construction, automobile and alcohol plants. The wagons represent almost 90% of the Brazilian production.

According to Abate, Maxion’s Exports should jump from US$ 30 million, in 2004, for US$ 80 million and it has been growing substantially in the last five years. Four hundred, of 6.500 wagons produced, will be exported.

The company also has a exclusive contract for world supply of guide wheels for Caterpillar’s tractors , supplies pieces for ore crushers of the french company Metso and wagons wheels and tricks for the Guinea, Mauritânia, Venezuela and Gabon. “The wagons represent from 50% to 70% of our business, depending on the market. We do not know if the production will continue giving great jumps, but we have been having significant and sustainable growth”, tells.

Durametal, producer of brake disks and drums and and cast irons cubs expects exporting 50% of its production, exclusive for weighed vehicles. Among this importers are United States, Canada, Germany and China, totalizing 20 countries. “We are facing competitors of the whole world, with the most advanced machines and an intensive training of people”, tells Fernando Gurgel, president of the company.

Founded in Fortaleza in 1996, Durametal is derivative of other company, Metaneide . At the beginning we produced 500 tons a month, with 350 employees. In October, we will reach 6.000 monthly tons, with 400 collaborators, what it will place us between the 10 Brazilian foundries of larger production and also among most productive in the world. According to Gurgel, the company comes growing from 30% to 35% in the last five years and in 2005 should produce 45 thousand tons, about 25 thousand produced in 2004 and can have a revenue of R$ 120 million, about R$ 80 million obtained last year.

The numbers of Abifa point that the total production of molten products accumulated from January to August represents an increase of 5,9%, about the same period of 2004. “This volume must decrease because last year was very strong”, tells Koch. Comparing always the periods of January to August of 2004 and 2005, the production of molten of iron had an increase of 3,7%, with 1,62 million tons, the one of not ferrous metals was practically stable, with 160 thousand tons and the one of steel grew 39,4%, reaching 184 thousand tons. “It is important to realize that the produce of steel is what grows most, but the great Brazilian production is of iron.”

The total exports accumulated until August were 16,4% superior to the of the same period of 2004, reaching 400 thousand tons. Molten them of steel were again the highlight, with 49 thousand t

Fonte: DCI