Start of Operation of Tenigal in Mexico
Sep. 19, 2013
Nippon Steel & Sumitomo Metal Corporation
Start of Operation of Tenigal in Mexico
In October 2010, Nippon Steel & Sumitomo Metal Corporation (Representative Director, Chairman & CEO: Shoji Muneoka, “NSSMC”) and Ternium S.A. (Chairman: Paolo Rocca, headquartered in Luxembourg) reached an agreement to establish a joint venture, “TENIGAL,” for manufacture and sale of automotive hot-dip galvanized & galvannealed steel sheets. On September 18, Tenigal held an opening ceremony at the plant site, welcoming President of Mexico, to celebrate completion of construction and start of operation of the facility.
This plant, at an investment of about US$300 million, has the state-of-the-art equipment equivalent to that of NSSMC’s latest facility in Japan, capable of producing high-grade, high-quality automotive hot-dip galvanized & galvannealed steel sheets, including outer panels and high-strength steels.
The automotive market in Mexico is expected to further grow in the future and stands for an important market for both NSSMC and Ternium. Through TENIGAL, both companies are going to respond appropriately to Mexican automakers’ needs for high-grade, high-quality automotive steel sheets.
Outline of TENIGAL
• Name: TENIGAL, S. de R.L. de C.V.
• Establishment: November 2010
• Location: In the vicinity of Monterrey City, Mexico
• President: Cesar Jimenez
• Management: Masanori Shimada (dispatched from NSSMC as a director and a member of the board)
• Business: Manufacture and sale of automotive hot-dip galvanized & galvannealed steel sheets
• Capital: US$175 million
• Equity ratio: NSSMC 49%, Ternium 51%
• Main equipment: 1 continuous hot-dip galvanizing & galvannealing line (CGL)
• Productive capacity: 400,000 tons/year
• Investment: about US$300 million
• Start of commercial operation: August 2013
• Employees: about 140
Photo: View of TENIGAL
Photo: Mr. Higuchi, representative director and executive vice president of NSSMC, who gave a speech in an opening ceremony
