The stainless steel sector is seeing a slow recovery from the financial crisis. In December 2013, The American Iron and Steel Institute (AISI) published a written report, elaborating on the expansion of steel products shipping. The report described that in October 2013, DIN 1.7225 steel and suppliers in USA shipped an overall total of 8,287,553 tons to customers. This is a 5.2% increase from the 7,879,747 tons shipped in September 2013.
This really is in congruence with an announcement created by the planet Steel Association in December too. The international trade body announced that global steel production has risen to 127 million tons, providing an overall total increase of 3.6%. While this is good news for the steel industry in general, one has to ask the question, how will this benefit stainless-steel producers and suppliers in the united states?
There are auto recyclers and auto dismantlers which remove the functional parts and sell them on the market. Parts which are damaged and can’t be reused are recycled for different types of applications. Various fluids in the car are also recycled. Fluids that can’t be recycled are discarded without adversely affecting the environment. The metallic portion which can be mostly steel is crushed into a small chunk and after that shred. The shredded steel is reused.
Steel is necessary in a lot of areas. But manufacturing steel is an elaborate process using up many of our natural resources. If steel is recycled from cars, it will greatly reduce the requirement to manufacture new steel which may benefit environmental surroundings.
There are numerous benefits that may be reaped by these events not only for stainless steel producers but investors and customers as well. Reinvestment in US Companies: For some time, there is a trend of worth investors looking towards Latin America, China, and also India for making an investment in steel production companies. With the impending huge growth of the AISI H13 steel in the united states once again, value investors can now think back to the shores for investment opportunities. This could also make way for new business and investors.
Opportunities for Better Service Offerings: While an downturn in the economy is depressing as you would expect, there is always the opportunity to return to the research phase and produce better service offerings. Several steel conferences and expos across the country are seeing several new technologies being presented by stainless-steel pipe suppliers and producers. Companies are introducing better flash welding techniques, new coil joining techniques for automotive grade materials, improvements in machine controls, and new ways of creating high strength steel. These may help immensely in attracting new business from US and aboard.
New Foreign Customers: The reliability of US steel is unprecedented. The entire quality of materials, new design and production techniques, and focus on excellent logistics and delivery is bringing many foreign clients. Today, you will find major companies from India, China, and Europe getting their steel requirements produced and delivered by US steel producers and suppliers.
Opportunities for Expansion:: The fact in the matter is The Usa has over 75% of production materials within the country itself. The steel industry is recognized for its high levels of productivity along with low off wage costs. With many foreign steel producers seeking to make an entry in to the US market, the current growth makes it a perfect time for mergers and acquisitions. One dlhfom find a number of US companies either tying up with an international counterpart, acquiring steel mills in USA and abroad or perhaps opening new factories in foreign countries.
Prospect of more Jobs: Probably the biggest advantage for all of us citizens, expansion can lead to more opportunities in the US and abroad. There are lots of US companies who definitely are concentrating much more on supplying instead of producing AISI 1045 steel. With every new stainless steel pipe supplier, there will probably be 2 to 3 new jobs being created. While the bears and bulls could make an impact on the steel industry, at some point, there will always new and better opportunities for growth and expansion.