JSW steel output drops in Ohio, Texas

Steel production at JSW Steel USA's operations fell in the last quarter of 2019.

JSW USA's 1.5mn t/yr hot-rolled coil (HRC) electric arc furnace (EAF) mill in Mingo Junction, Ohio, produced 74,300t of steel in its fiscal third quarter, down from 87,300t in the second quarter and 80,000t in the first quarter.

The India-based steelmaker's plate mill in Baytown, Texas, produced 70,500t (77,700st) in its fiscal third quarter, a decline of 23pc compared with the same period of 2018.

The Texas mill's utilization rate was 29pc, down by nine percentage points compared with 2018.

In the quarter, the company's pipe mill production fell by 10pc to 14,700t compared with the same period prior year. The pipe mill's utilization fell by one percentage point to 11pc.

Through the first three fiscal quarters, plate production fell by 16pc to 212,000t, while pipe mill production increased by 6.5pc to 53,508t.

For October-December, JSW USA's plate and pipe mill posted a loss in earnings before interest, tax, depreciation and amortization (EBITDA) of $12.6mn compared with an EBITDA gain of $4.1mn in the same period prior year. Revenues fell by 39pc to $64mn.

Mingo Junction posted an EBITDA loss of $36.1mn, including inventory writedown of $19mn.

By Rye Druzin