Usiminas invests in car steel technology

Brazilian flat steelmaker Usiminas invests some 15mn reais (US$5.08mn) a year in research and development of which 5mn reais is slated for steel technologies designed for products used by car makers, AE-Setorial news service reported. The steelmaker wants to stay on the cutting edge of steel used by the car makers and parts makers sector. Usiminas holds 55% of this market with annual sales volumes of some 1Mt. Sales to the sector account for 35% of the company's revenues, which up to September reached 4.5bn reais. Usiminas is working on two new types of steel for car makers. Aco Trip 800 has been in development for the past three years and is currently undergoing industrial scale tests. The products should hit the market by the end of 2004. Another pilot project, dubbed Complex Phase, is in development for the past two years. The project is not expected to be market ready until the end of 2005 or start of 2006. Belo Horizonte-based Usiminas along with its subsidiary Cosipa is Brazil's largest flat steelmaker with a crude steelmaking capacity of 9.2Mt/y.