Brazil CSN's German Buy Will Offset Expansion Delays

Brazil CSN's German Buy Will Offset Expansion Delays.
Staff Reporters
Dow Jones MetalSource Steel

Brazilian steelmaker CSN's (CSNA3.BR, SID) purchase of long products steelmaking assets in Germany is positive as it allows the company to recoup some of the delays in setting up its own long steel products plant in Volta Redonda, Brazil, broker SLW Corretora says. With existing capacity, the new plant and the German assets, CSN's steelmaking capacity will leap to 7.2 million tons a year in 2013, from 5.6 million tons at present, SLW says. Long steel products is a new area for CSN and German knowhow could be important in getting its long steel plant up and running in Brazil, SLW says.