U.S. Steel, a subsidiary of Nippon Steel, broke ground on new raw-material manufacturing equipment at its electric arc furnace plant in Arkansas in the southern United States. The investment is approximately $1.9 billion and is intended to secure a stable supply of raw materials for high-grade steel for automobiles from electric arc furnaces.
U.S. Steel, Nippon Steel's U.S. subsidiary, held a groundbreaking ceremony on the 30th for new raw-material manufacturing equipment at its electric arc furnace plant in Arkansas in the southern United States. The investment has been reported at approximately $1.9 billion (approximately ¥300 billion), making it one of the major investments being pursued following Nippon Steel's acquisition. The project is expected to strengthen the raw-material production system for electric arc furnaces.
The new equipment is intended to secure a stable domestic supply of raw materials for producing high-grade steel for automobiles using electric arc furnaces, which have a lower environmental impact than blast furnaces. The company has indicated a policy of improving quality control and supply stability by producing its own raw materials using natural gas.