Recently, ArcelorMittal (hereinafter referred to as Anmi) announced that it has signed an agreement with Brazil's major steel manufacturer Payson Steel to acquire the company for approximately US$2.2 billion.
Located in the northeastern Brazilian state of Ceara, Payson Steel started production in 2016 and produced its first slabs in June of the same year. Payson Steel is a cost-effective company producing high-quality slabs. The company owns a 3 million-ton blast furnace near the Brazilian deep-water port of Pecém. In addition, Payson Steel is located in Brazil's first export processing zone and enjoys various tax incentives.
It is reported that Anmi plans to expand the production capacity of 3 million tons of high-quality slabs through this acquisition for internal use by Anmi or for sale to users in North and South America. Anmi said that in the future, it will also expand crude steel production capacity and improve rolling and other capabilities in the company to stabilize Anmi's position in the Brazilian steel industry.
