Gerdau will invest approximately $180 million in the modernization and expansion of its special steel operations in Brazil. The investment will focus on steel production units located in Pindamonhangaba and Mogi das Cruzes in São Paulo and in Charqueadas in Rio Grande do Sul. A new annealing and spheroidization furnace for steel bars will be installed at the Charqueadas plant. The equipment will bring greater capacity and productivity to the facility’s heat-treatment process. It will also allow Gerdau to meet growing demand for materials with more demanding specifications in relation to properties such as hardness and low levels of decarburization. The equipment, which has an annual capacity of 48,000 tons, will start up in August 2022.
The Mogi das Cruzes plant will have its steelworks reactivated, and 150 new jobs will be created. The facility will have an annual capacity of around 180,000 tons of steel, which will be rolled at the Pindamonhangaba plant. The Pindamonhangaba plant is continuing to invest in continuous casting, which is expected to start up in August 2022. The equipment will allow Gerdau to have a more automated process with better yield, resulting in the delivery of differentiated products at a higher level of quality for demanding markets.