ArcelorMittal Pecem’s Remarkable Steel Production and Export Expansion in 2024
ArcelorMittal Pecem, located in the northeastern state of Ceará, Brazil, has once again reached its full production capacity, generating 3.0 million metric tons (mt) of slabs in 2024. This marks the second consecutive year that the plant has achieved its nameplate capacity. The plant plays a significant role in Brazil's steel industry, producing 9.5% of the country's crude steel and contributing 22% of ArcelorMittal’s overall production within Brazil.
The facility has earned recognition for its ability to produce High Added Value steel grades, which are in demand across industries like shipbuilding, oil & gas, automotive, and civil construction. In 2024, the plant produced 281 new steel grades, 40 of which were HAV grades, underscoring its technological capabilities and versatility in catering to diverse sectors.
Key Role in Brazilian Steel Production
The ArcelorMittal Pecem plant is a critical player in Brazil’s steel industry, representing a sizable portion of the country’s total crude steel production. As of 2024, the plant’s 3.0 million metric tons of slab output accounted for a substantial 9.5% of Brazil’s crude steel production. This highlights the plant’s central role in meeting both domestic and international demand for steel, a key material in construction, infrastructure, and manufacturing.
The plant also plays a vital role in ArcelorMittal’s operations in Brazil, contributing 22% of the company’s total steel production in the country. This impressive contribution underscores the plant's significance within ArcelorMittal’s global operations and its ability to serve both local and international markets with a wide array of steel products.
Innovative Steel Production for Specialized Markets
ArcelorMittal Pecem’s ability to produce High Added Value (HAV) steel grades is one of its standout features. HAV steels are critical in high-tech, demanding industries such as shipbuilding, oil & gas, automotive, and civil construction. These sectors require premium quality materials with specific properties, and Pecem’s certification to produce these grades strengthens its market position.
In 2024, the plant produced 40 HAV steel grades, adding to its already diverse product portfolio of 281 steel grades. This flexibility allows the plant to cater to industries that require advanced steel materials for safety, durability, and performance, and to maintain its competitiveness in global markets.
Slab Exports Surge: US and Mexico Lead as Key Markets
Exports have been a significant driver of growth for the ArcelorMittal Pecem plant. In 2024, the ratio of slabs exported from the plant compared to its domestic sales reached an impressive 76%, up from 62% in 2023. This shift highlights the growing international demand for Pecem's high-quality steel products, particularly from markets in North America and beyond.
The United States emerged as the leading destination for Pecem's slab exports, followed by Mexico. These markets are crucial for Pecem's export strategy, as they are both major consumers of steel and offer substantial opportunities for ArcelorMittal's products. The increase in export volume reflects the plant’s ability to meet the stringent demands of international customers, further solidifying its reputation as a reliable supplier of premium steel.
Sustainability and Technological Advancements
Beyond its production achievements, ArcelorMittal Pecem’s continued success is also attributed to its focus on sustainability and technological innovation. The plant’s certification for producing HAV steel grades demonstrates its commitment to meeting global standards for quality and environmental performance. Additionally, the use of advanced production techniques helps to reduce the environmental impact of steel manufacturing, aligning with global industry trends toward more sustainable and eco-friendly practices.
ArcelorMittal Pecem’s ability to innovate while maintaining high production standards allows it to remain competitive in the face of evolving market dynamics, including fluctuating raw material prices and growing demand for sustainable practices.