In a statement, Ternium said the new hot mill, to be built at its Pesquería, Nuevo León, facility, will have an annual capacity of 3.7 million metric tons and will allow it to expand its product offerings. With a small additional investment in the future, capacity could be increased by an extra 1.1 million metric tons, the company said. 

"The investment will constitute a significant technological upgrade to the country’s steel production capacity, enabling the expansion of Ternium’s product range to encompass a broader dimensional offering and the most advanced steel grades, with the aim at replacing high-value-added steel imports," the company said. 

Ternium chief executive Daniel Novegil said construction of a new Mexican rolling is a “logical next step” following its acquisition of thyssenkrupp’s former Brazilian mill, Companhia Siderúrgica do Atlántico. 

"This new equipment, once operational, will integrate upstream with Ternium’s high-end steelmaking capacity in Brazil and downstream with the company’s state-of-the-art Pesquería facility," Novegil said.  

"This will allow us to produce in Mexico technologically advanced products for the demanding and innovative automotive industry, as well as for a wide range of other industries like the home appliance, machinery, energy and construction sectors." 

The mill is to be put into service in the second half of 2020. 

Meanwhile in Colombia, Ternium plans to increase its production capacity by 260% through construction of the new rebar mill, which is expected to cost about US$90 million. The mill would take Ternium’s Colombian capacity from 200,000 metric tons to 720,000 metric tons annually.  

It is to come on-line by the second half of 2019. 

"The Colombian steel market has been gaining relevance in the region in the last years, with significant growth in steel consumption. This investment will enable us to expand our market share in the dynamic construction sector by offering an alternative to imports," said Novegil.