AHMSA increased its steel production by 5% during 2021

Blast Furnaces of Mexico (AHMSA), one of the largest steel companies in the country, increased its production to 2 million tons of liquid steel during 2021, which represents 5.2% more than the previous year, after the contraction of the world economy, due to the coronavirus pandemic and the problems of financial restructuring within it.

This amount translates into 100,000 additional tons to what was registered in the same period of 2020, when it manufactured 1.9 million tons of steel. Although it is far from the levels of 2018, when it produced 4.5 million tons.

At the end of 2021, the Mexican steel company reflects the gradual recovery of production rates in the company, after the international market, mainly the United States, demands raw material for the production of electrical products, appliances, refrigerators, cars and construction materials to a lesser extent.

Luis Zamudio Miechielsen, general director of AHMSA, highlighted the effort given by the staff, which allowed reaching these production levels.

“In a year in which we faced many difficulties, but we managed to advance in the productive and financial recovery of the company from an improvement in steel prices.”

For AHMSA, the plans underway for the year 2022 are aimed at exceeding the operating levels recorded in 2021, in order to complete the financial stabilization of the company.

Since 2019, the steel company has been facing financial problems, after the arrest of its president of the board of directors, Alonso Ancira, after being accused of alleged corruption by selling to Mexican oil a company at a cost premium.

Last week, the company reported that it is seeking a capitalization agreement, or association, as part of its financial restructuring process, with the investment bank Jefferies LLC. “Approaches have been made with possible strategic and non-strategic partners without establishing exclusivity or signing binding agreements,” he commented.

However, after the operational maintenance carried out by Altos Hornos in its different areas, the company has achieved savings and in turn increased its production, a result of 2021.

“There was a lot of internal creativity, application in the savings and efficiency programs, and above all the will to overcome challenges, which has shown the strengths that A has accumulated.HMSA in its 80 years of productive life”, added the CEO.

Most of the volume registered in 2021 was obtained via pig iron (first melting of steel in the furnace) generated in Blast Furnace 5 and through the steeling process in the BO2 system, while 400,000 tons of iron were obtained via electric furnace. liquid steel, doubling the level of 2020.

From these primary steel volumes, slab production reached 1,921,000 tons -100,000 more than the previous year- and resulted in 1,632,000 tons of finished product, mainly hot and cold rolled sheet, plate, tinplate and chrome sheet.



Reference-www.eleconomista.com.mx

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