The stainless-steel market is seeing a slow recovery from the financial crisis. In December 2013, The American Iron and Steel Institute (AISI) published a study, elaborating on the growth of steel products shipping. The report detailed that in October 2013, DIN 1.7225 steel and suppliers in USA shipped a 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 can be in congruence for 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 a total increase of three.6%. While this is good news for the steel industry generally speaking, one has to ask the question, how can this benefit stainless producers and suppliers in the US?
You will find auto recyclers and auto dismantlers which eliminate the functional parts and then sell them in the market. Parts which are damaged and can’t be reused are recycled for different types of applications. Various fluids in a car are also recycled. Fluids that can’t be recycled are discarded without adversely affecting the environment. The metallic portion that is mostly steel is crushed into a small chunk then shred. The shredded steel is reused.
Steel is needed in a large amount 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 necessity to manufacture new steel which in turn will benefit the environment.
There are many benefits which can be reaped by these events not only for stainless steel producers but investors and customers also. Reinvestment in US Companies: For a while, there is a trend of value investors looking towards Latin America, China, as well as India for making an investment in steel production companies. Having an impending huge expansion of the DIN 1.2344 steel in the US once more, value investors are now able to think back to our shores for investment opportunities. This could also make way for new clients and investors.
Opportunities for Better Service Offerings: While an economic crisis is depressing as you would expect, there is always a chance to return to the investigation phase and make better service offerings. Numerous steel conferences and expos across the country are seeing numerous 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 will 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 can 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 simple fact from the matter is The Usa has over 75% of production materials within the country itself. The steel industry is known for its high degrees of productivity as well as low off wage costs. With lots of foreign steel producers seeking to make an entry in to the US market, the existing growth makes it an excellent 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.
Prospect of more Jobs: Probably the biggest advantage for people citizens, expansion can result in more occupations in america and abroad. There are numerous US companies that are concentrating much more on supplying rather than producing C45 steel. With every new stainless-steel pipe supplier, there will most likely be 2 to 3 new jobs being created. While the bears and bulls may make an effect on the steel industry, at some point, there will always new and much better opportunities for growth and expansion.