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Tata Steel Invests in Steel Production at Scunthorpe Rod Mill
05/09/2011 - Tata Steel is investing £1.2 million in two new machines—one for testing and one for size and shape measuring—at its wire rod rolling mill in Scunthorpe to increase quality and efficiency, and to boost production of high-grade steels for the automotive sector, among others.
Tata Steel is investing £1.2 million in two new machines—one for testing and one for size and shape measuring—at its wire rod rolling mill in Scunthorpe to increase quality and efficiency, and to boost production of high-grade steels.
The investment in a new testing machine will improve quality testing on the company’s “cold heading” product range, which includes steels used in fasteners for the automotive, mechanical engineering, and construction sectors.
A new size and shape-measuring gauge at the mill will provide machine operators with rapid feedback on rod dimensions during the steel rolling process.
The investment will not result in increased overall production at the rod mill.
“This investment, like the £8 million Clydebridge investment we announced last week, supports our ambition to focus on making premium products for profitable markets,” said Jon Bolton, Director of Tata Steel’s Long Products Hub. “The Scunthorpe Rod Mill is a specialist steel rolling facility that provides high-quality, high-strength steel for some of the most technically demanding and safety-critical markets.
“Steel demand recovery has been slow following the global recession, with some sectors demonstrating particular difficulty in returning to pre-recession levels. But we will continue to invest in our capability to produce specialist and highly technical steel products to contribute to a more competitive and sustainable business.”
The company anticipates that both machines will be commissioned in October 2011.
This latest investment is part of a major £130 million project; in 2005, the Scunthorpe Rod Mill received investment in the form of new technology and equipment that enhanced its capability, flexibility, quality, and service to customers.
The European operations of Tata Steel (formerly known as Corus) comprise Europe's second largest steel producer. With main steelmaking operations in the UK and the Netherlands, the company supplies steel and related services to the construction, automotive, packaging, material handling, and other demanding markets worldwide. Tata Steel is one of the world’s top 10 steel producers. The combined group has an aggregate crude steel capacity of more than 28 million tonnes and approximately 80,000 employees across four continents.
