CSN's Ambitious Expansion Spurs $ Investments for Capacity Boost
Brazil's Companhia Siderurgica Nacional (CSN) plans a $7.9 billion investment from 2023 to 2028 to revamp its industrial facilities, targeting a $2.8 billion EBITDA in 2028. This initiative, led by CEO Benjamin Steinbruch, aims to elevate steel production capacity from 3.8 to 5 million metric tons annually, tackling past operational constraints and envisioning a 10% sales growth by mitigating import reliance in Brazil.
Brazilian steel giant Companhia Siderurgica Nacional (CSN) has unveiled an ambitious strategy, charting a $7.9 billion investment between 2023 and 2028. This extensive capital infusion aims to modernize its industrial infrastructure and anticipates generating a substantial EBITDA of approximately $2.8 billion by 2028. Benjamin Steinbruch, CSN's CEO, spearheads this transformative endeavor, primarily focused on revitalizing production capabilities.
The focal point of this strategic move revolves around the construction of a new plant, crucial for augmenting CSN's annual steel output capacity. The goal is to escalate the current 3.8 million metric tons to the original targeted capacity of 5 million metric tons. This initiative signals a proactive approach aimed at overcoming previous operational setbacks.
Operational hurdles hampered CSN's steel production potential this year. Addressing these challenges head-on, Luis Fernando Martínez, CSN's commercial director, foresees a promising trajectory. The projected 10% surge in steel sales for the upcoming year stands bolstered by forthcoming operational enhancements. These improvements aim to eradicate production bottlenecks and, consequently, curtail the need for steel imports into Brazil.
CSN's substantial investment plan underscores its commitment to fortify operational capabilities, enhance domestic production, and significantly reduce reliance on steel imports, promising an upward trajectory for Brazil's steel sector.