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voestalpine is investing almost EUR 100 million in expanding its hot-dip galvanizing lines in Linz

2022-08-11 | 

To be able to meet the growing demand for high-quality high-strength steels in the future, in the next few years voestalpine will be investing almost EUR 100 million in the expansion of the hot-dip galvanizing lines at the Linz site. The investment will make it possible to further increase the production quality of zinc-coated and uncoated cold-rolled strip products. Construction work will start in August with hot-dip galvanizing line 4; the technological ramp-up is scheduled for 2025/26. This will allow the site to significantly increase the volume of ultra-high-strength steels.

The expansion of the line is a key factor in the future high-strength strategy of the voestalpine Group’s Steel Division. Investing in the line will make it possible in the future to produce all major steel grades that are mainly used in the premium automotive industry and have to meet the most stringent quality requirements. The high-quality steel products offer best crash performance combined with lowest weight. This makes vehicles lighter and consequently more sustainable.

Herbert Eibensteiner, CEO of voestalpine AG

We are constantly working on expanding our technology and innovation leadership. This investment is an important step in further strengthening our leading position in the all-important automotive segment.

Herbert Eibensteiner, CEO of voestalpine AG
Hubert Zajicek, Member of the voestalpine AG Management Board and Head of the Steel Division

Investments in the future, such as in hot-dip galvanizing line 4, make a significant contribution to meeting our customers’ exacting requirements. In the future, the expansion will enable higher strengths, more flexibility, and larger dimensions for cold-rolled and hot-dip galvanized strip.

Hubert Zajicek, Member of the voestalpine AG Management Board and Head of the Steel Division

Another important component is the planned zinc bath bypass; the integrated “bypass solution” is being developed within the Group and will allow cold-rolled strip to be produced on a line without a lowerable zinc bath.

The modernization of all hot-dip galvanizing lines is expected to be completed in 2027.

Steel Division

As a global manufacturer of high-quality steel products, the voestalpine Group’s Steel Division assumes a driving role in shaping a clean and livable future. The Steel Division has set benchmarks in the current steel production route and is pursuing an ambitious step-by-step plan to achieve climate-neutral steel production with its greentec steel. As a first step, the Steel Division offers a CO₂-reduced greentec steel version of each flat steel product . It is also working on the implementation of climate-friendly production technologies based on green electricity and hydrogen. The Steel Division is the first point of contact for major automotive manufacturers and suppliers worldwide when it comes to high-quality steel strip. It is also a prominent partner to the European housing and machinery industries. The Division manufactures heavy plates and cast products for applications subject to the most difficult conditions in the energy industry and provides customized solutions for the expansion of renewable energy. In the business year 2021/22, the Steel Division generated revenue of EUR 5.7 billion, reported an operating result (EBITDA) of EUR 1.2 billion, and had around 10,700 employees worldwide.

The voestalpine Group

voestalpine is a globally leading steel and technology group with a unique combination of materials and processing expertise. voestalpine, which operates globally, has around 500 Group companies and locations in more than 50 countries on all five continents. It has been listed on the Vienna Stock Exchange since 1995. With its premium products and system solutions, it is a leading partner to the automotive and consumer goods industries as well as the aerospace and oil & gas industries; it is also the world market leader in railway systems, tool steel, and special sections. voestalpine is fully committed to the global climate goals, and its greentec steel program represents a clear plan for decarbonizing the production of steel. In the business year 2021/22, the Group generated revenue of EUR 14.9 billion, with an operating result (EBITDA) of EUR 2.3 billion; it had about 50,200 employees worldwide.