Q: What is the difference in ThyssenKrupp Steel USA and ThyssenKrupp Stainless USA?
A: Both ThyssenKrupp Steel USA and ThyssenKrupp Stainless USA are members of a ThyssenKrupp group of companies. While belonging to the same group, each is an individual subsidiary within different divisions and business areas with separate boards, local management, and Team Members. Both companies share the same site in Calvert, Alabama to maximize cost sharing and other synergies. In fact, ThyssenKrupp Steel USA will roll 1 million metric tons of ThyssenKrupp Stainless USA's product on its hot strip mill through contractual agreement when the Stainless unit is fully operational. ThyssenKrupp Steel USA represents roughly 70% of both the Alabama projects' capacity and investment.
Q: What does your project consist of?
A: ThyssenKrupp Steel USA is building a new state-of-the-art multi-billion dollar carbon steel processing facility in north Mobile County, Alabama to serve the NAFTA, and particularly, the United States market. When fully operational in the early summer of 2010, the facility will employ nearly 2000 Team Members and have an estimated annual capacity of 4.3 million metric tons of end product.
Q: Have you changed the scope or schedule of your project due to the current state of the global economy?
A: While the state of the current economy has given us additional challenges, there are no changes to the original scope, investment, construction or hiring schedules for ThyssenKrupp Steel USA's portion of the project in Alabama. We remain confident in the long-term success of our project and market growth for premium carbon steel products in the NAFTA region.
Q: Where will your steel slabs be coming from?
A: The raw steel will be shipped from ThyssenKrupp CSA, ThyssenKrupp’s new multi-billion dollar manufacturing facility currently under construction in Brazil. The Brazilian facility will have a capacity of five million metric tons of slabs per year and it is expected to start production in summer of 2010. The high-quality slabs from Brazil will loaded onto barges at a new multi-million dollar crane terminal that is now completed by the Alabama State Port Authority at the mouth of the Tombigbee River for delivery to our up-river facility.
Q: Where will you market your products?
A: Our products will be marketed in NAFTA and particularly in the United States. This continent is a big volume market for high quality flat carbon steel and a growth market for stainless steel. ThyssenKrupp’s largest market outside Europe is the United States. Here, ThyssenKrupp Steel USA’s products will be used by the automotive and construction industries, service centers, pipe and tube industry as well as the appliance/HVAC industry.
Q: Why did ThyssenKrupp Steel decide to build a new facility in the United States?
A: ThyssenKrupp has a long history of partnership with the United States dating back to 1837 and recognizes the importance of the U.S. marketplace. North America is a future source of growth for high-value steel products, and we have established a goal of increasing our business in this important market.
Q: Is the current state of the economy affecting the carbon steel side of your project, its investment or its schedule?
A: These are economically challenging times for nearly all industries, including the global steel industry. ThyssenKrupp Steel USA has not been immune from current conditions. Partnering with our contractors and vendors to locate cost saving potentials is allowing ThyssenKrupp Steel USA to continue our 70% portion of the project without delay to our original schedule or changes to our overall investment.
Q: Are you still hiring?
A: Yes. ThyssenKrupp Steel USA is continuing to hire and is aggressively recruiting both salaried and hourly positions in almost all areas. Applications are only accepted online and job information may be found under the career tab of this website.
Q: What affect is your project having on the local and state economy?
A: As of June 2010, ThyssenKrupp Steel USA has issued contracts totaling over $1.5 billion with companies in Alabama, Mississippi, Florida and other southeastern states. Of this amount, we have issued contracts in excess of $750 million in our home state of Alabama. In Mobile and Baldwin Counties, over $190 million. We are continuing to hire our team which on the carbon steel side will eventually number 1,800. We are also indirectly employing thousands through contractors and vendors during the construction phase of our project. This additional investment in the American, and more specifically, the Alabama economy, is especially beneficial given current economic and employment conditions.
Q: Is the oil spill in the Gulf of Mexico expected to affect operations?
A: While the spill in the Gulf is of great concern and affects the health of our home community, we do not expect any delays to shipments or operations in connection with the catastrophe.
