Allegheny Technologies, Tsingshan form stainless sheet joint venture

Allegheny Technologies (ATI) and an affiliate of Tsingshan Group have formed a 50-50 joint venture to manufacture and sell 60-inch-wide stainless steel sheet in North America.

The deal is expected to pass customary regulatory and antitrust clearances by the first quarter of 2018, with first shipments expected in January of next year, Patrick J. DeCourcy, ATI's senior vice president of finance and chief financial officer, said during a conference call on November 2. Under the terms of the joint venture, to be called Allegheny & Tsingshan Stainless (A&TS), Tsingshan will supply redi-to-roll slabs from its Indonesian operations, which will be hot-rolled into coils on ATI’s hot-rolling and processing facility in Brackenridge, Pa. The hot-rolled coils then will be finished into stainless sheet using ATI’s direct roll anneal and pickle line in Midland, Pa., which was idled in 2016. ATI's flat-rolled products business currently doesn't make slabs wide enough to produce 60-inch wide sheet, according to Dan Greenfield, ATI's vice president of investor relations and corporate communications. The company did produce such slabs at its Midland facility before it was idled,...

Published

November 02, 2017

20:07 GMT