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 report, elaborating on the growth of steel products shipping. The report detailed that in October 2013, AISI 4140 steel and suppliers in USA shipped an overall 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 made by the entire world Steel Association in December also. The international trade body announced that global steel production has risen to 127 million tons, providing an overall increase of 3.6%. Even though this is fantastic news for your steel industry in general, one has to ask the question, how can this benefit stainless steel producers and suppliers in the US?
You can find auto recyclers and auto dismantlers which remove the functional parts and sell them available in the market. Parts which are damaged and can’t be reused are recycled for various kinds of applications. Various fluids in the vehicle can also be recycled. Fluids that can’t be recycled are discarded without adversely affecting the environment. The metallic portion which is mostly steel is crushed in to a small chunk and after that shred. The shredded steel is reused.
Steel is required in a great deal of areas. But manufacturing steel is an elaborate process using up a number of our natural resources. If steel is recycled from cars, it can greatly reduce the requirement to manufacture new steel which in turn will benefit the environment.
There are numerous benefits that may be reaped by these events not just for stainless steel producers but investors and customers too. Reinvestment in US Companies: For a while, there was a trend of worth investors looking towards Latin America, China, and even India for purchasing steel production companies. With the impending huge expansion of the DIN 1.2344 steel in the US once again, value investors may now think back to the shores for investment opportunities. This can also make means for new clients and investors.
Opportunities for Better Service Offerings: While an economic crisis is depressing as you would expect, there is always the opportunity to return to the study phase and create better service offerings. Several steel conferences and expos across the country are seeing a number of technologies being presented by stainless-steel pipe suppliers and producers. Companies are introducing better flash welding techniques, new coil joining methods for automotive grade materials, improvements in machine controls, and new methods of creating high strength steel. These may help immensely in attracting new clients from US and aboard.
New Foreign Customers: The longevity of US steel is unprecedented. The overall quality of materials, new design and production techniques, and increased exposure of 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 actual fact in the matter is The United States has over 75% of production materials within the country itself. The steel industry is renowned for its high amounts of productivity in addition to low off wage costs. With lots of foreign steel producers wanting to make an entry into the US market, the existing growth makes it an ideal time for mergers and acquisitions. One dlhfom find several US companies either tying on top of an overseas counterpart, acquiring steel mills in USA and abroad or perhaps opening new factories in foreign countries.
Possibility of more Jobs: Probably the biggest advantage for US citizens, expansion can lead to more opportunities in the united states and abroad. There are many US companies that are concentrating more on supplying as opposed to producing AISI 1045 steel. With every new stainless-steel pipe supplier, there will likely be 2 to 3 new jobs being created. As the bears and bulls might make an effect on the steel industry, sooner or later, there will always new and much better opportunities for growth and expansion.