United States Steel has formed a $93 million joint venture with Korean Steelmakers Posco and SeAH Steel to create a manufacturing facility capable of producing 300,000 net tons per year of spiral welded tubular products in the 24- to 64-inch outside diameter range. The new facility, which will be called United Spiral Pipe, LLC, will be located adjacent to USS-Posco Industries in Pittsburg, Calif. The facility, which will also have access to world-class coating capabilities, is expected to begin production in 2008.
U.S. Steel and Posco will each hold a 35% ownership interest in the joint venture, with the remaining 30% ownership interest being held by SeAH. Both U.S. Steel and Posco will supply high-quality hot roll coil for the spiral welded mill, and the joint venture will be responsible for marketing the finished products.