2/13DOMEX harD

OX DOCOLWELDOX prELaq

TOOLOXarMOX

WorldSSABCUSTOMEr BUSINESS IN FOCUS

steels new

dimension

EmErgingmarkEts

opportunitiesfor all

3d forming taken to the next level

CEO

Published by ssaB, P.O Box 70, klarabergsviadukten 70, D6 101 21 stockholm, sweden editor-in-chief Helena stlnert editor anders srman, +46 243 710 80, anders.sorman@ssab.com editorial production spoon project management rob Hincks, +46 76 195 54 71, rob.hincks@spoon.se layout tone knibestl Cover photo mns Berg next issue march 2014 Copyright texts and images in ssaB World may not be republished without permission. Please visit www.ssab.com for more information.

WorldSSAB

CUSTOMEr BUSINESS IN FOCUS

martin lindqvist

n developing markets, innovation is key to success. In this issue of SSaB World we take a look at three of the most important emerging markets for SSaB: asia, South america and Eastern Europe.

In each of these markets SSaB sees great op-portunities to work together with our customers in sectors such as mining, construction, machinery and transport; not just by selling them steel, but by work-ing in close cooperation, helping them develop the products and giving them the necessary support that will enable them to succeed as their market grows.

Just as new markets develop, so too do new technologies. On page 7 you can read about Deform, a Swedish company breaking new and fascinating ground in 3D forming. Working out of a small factory in the middle of Sweden, they are producing some amazing things from SSaBs range of high strength steel.

Of course, not everything is about the brave new world. Steel has been around for a very long time; longer, probably, than most of us realize. You can read more about this in our informative and enter-taining history of steel timeline.

Closer to home, we round up the magazine with news of new product lines and support services, designed to help our customers get the most out of their partnership with SSaB

I hope you enjoy this issue of SSaB World, and wish you continued prosperity as we approach 2014.

happy reading!

i

an emerging world

2 SSAB WORLD # 2 / 2013

CONTENT 02/2013

smart solutionsUsing the right steel for the job can bring many rewards. in this issue we meet a company who has broken a whole new market and one who has developed a bolt that saves machine downtime and money.

emerging marketsthe world is changeing, and new markets are emerging constantly. We look at three of the most important and meet some of the companies working in them.

04

18

07

12

+20

Back in the u.s.a.Until only recently manufacturing was a dying industry in the U.s. now, fig-ures appear to show a reverse in that trend, as more and more companies bring back production to U.s. soil.

taking shapeOnce an impossible task, new techniques are making 3D forming of sheet steel a very real possibil-ity. swedish company Deform are at the forefront of this new indus-try, thanks to a unique technique and a partnership with ssaB.

Know your Historysteel is widely considered a material of the future, but steel has a history, too; a long history. read our entertaining and informative guide to the story of steel.

ssaB in your pocketForget about digging around in drawers for old copies of ssaBs product brochures. Download our free smartphone app instead.

# 2 / 2013 SSAB WORLD 3

SmartSOLUTIONSTOGEThEr WE CrEaTE BETTEr rESULTS

It may not seem like a big innovation, but its very unique how they cut Hardox500/60t into little pieces with a band saw and do BTA processing to make these bolts.TaTSUYa TakIGaMI rEGIONaL SaLES MaNaGEr NIhON JIrYOkU SENkOU

4 SSAB WORLD # 2 / 2013

industrial maCHinery maintenanCe

precision Craftsmanshipquality MaterialIncreased productivity

to suCCeed in Business, youve got to understand the nuts and bolts of your operation. in the case of nihon Jiryoku senkou, this applies quite literally. the Japanese company designs, manu-factures, and maintains machinery for steel mills, metal refineries, and recycling plants. Over a two-year period, they discovered that 455 steel bolts in just one of their rod mill machines had cracked and failed. the downtime for repairs and replacements was unacceptable.

the bolts had been processed by kyowa kogyosho using snCm steel. But the alloy wasnt performing well under stress. in 2012, kyowa joined the Hardox Wearparts network and immediately put their partnership with ssaB to the test. regional sales manager tatsuya takigami heard about their bolt crisis, and suggested Hardox 500 as a solution.

it may not seem like a big innovation, but its very unique how they cut Hardox500/60t into little pieces with a band saw and do Bta processing to make these bolts. the processes are simple, but according to takigami, many processors hesitate to apply them to Hardox plate only because theyve never tried.

new Hardox bolts were installed in nihon Jiryoku senkous rod mill machines, and during a six-month period from march to sep-tember of 2012 not a single one had cracked. its important that we talk to our processor partners and our ssaB colleagues so we can discover what their challenges are, says takigami. We may not always be the solution to a problem, but trialand even errorcan help us build better relationships with our customers and discover more uses for Hardox.

For more information please contact tatsuya.takigami@ssab.com

by andrew Berg

# 2 / 2013 SSAB WORLD 5

SMART SOLUTIONS

exCavation maCHine manufaCturer

moving mountains doesnt require supernatural powers; it takes experience, state-of-the-art technology, and a healthy dose of bravado. For more than 20 years, italys trevi Benne s.p.a. has been providing these ingredients to earth moving, demolition, and recycling industries around the world. today, some 3,500 customers rely on trevi Bennes ex-pertise to help them get the job done, and trevi Benne relies on ssaB Hardox for a large amount of their steel. When an australian mining industry distributor expressed interest in a 27-ton excavator bucket with a staggering capacity of 22 cubic metres, trevi Benne turned to ssaB for support. Based on long experience we knew perfectly well how Hardox reacts when subjected to high stress, says trevi marketing manager Christian tadiotto. so we accepted this challenge. in record time, ssaB supplied Hardox and Weldox plate from its Parma warehouse and shipped additional material from sweden, prepared to trevi Bennes precise design speci-fications. ssaBs advice was invaluable, tadiotto says. they helped us upgrade from Hardox 400 to Hardox 450 and to reduce thickness in some parts of the equipment by 10mm. and that meant huge savings in cost and weight. the australian gold mine eventually decided not to buy the giant bucket. But for trevi Benne, the experience was still priceless. ssaB Hardox helped them push the limits of production and design and attract new business. it was a risk in terms of economics and company prestige, but it paid off, says tadiotto. We broke through to a whole new market.

For more information please contactloredana.colianni@ssab.com

Monumental ScaleSuperior StrengthLightweight and Low Cost

We broke through to a whole new

market.

ChrISTIaN TaDIOTTOMarkETING MaNaGEr

by andrew Berg

the 27-tonne Hardox and weldox bucket is a sight to behold.

6 SSAB WORLD # 2 / 2013

CASE: DEFORM

a new dimension

in steel

by alannaH eames photo mns Berg

While bending steel plates is nothing new,

three-dimensional (3D) forming is all about creating wiggles, open boxes and more elaborate shapes

out of a single plate of steel, eliminating the need for welding. the trick as swedish company Deform has discovered is to do the 3D forming without

losing the properties of high strength steel.

# 2 / 2013 SSAB WORLD 7

BaCK in 1907 wHen degerfors ironworKs now called Deform was founded, high strength steel, modern three-dimen-sional (3D) forming, and even welding, had yet to be invented. Hydraulic presses and roller-bending were used on steel plates to shape them before they were riveted together.

Fast forward 100 years and Deform has unlocked the secret to hot forming high strength steel without losing its properties. It has also developed a process to form a single high strength steel plate into a complicated shape eliminating the need to weld sev-eral plates together.

The market for 3D forming is increasing but it still remains a challenge to educate designers and engineers that you can hot form high strength steel, says Conny Lundstedt, Sales Manager, who has met many sceptical people during his ten years at Deform. They often believe you cant hot form high strength steel grades be-cause you destroy the properties of the steel when you heat it up to form it. This is true. But we have a unique certified process whereby we can do hot form, and destroy the properties temporarily. How-ever, we restore the properties and keep the shape at the same time. Not many companies can do this. tHe way 3d forming worKs is quite straightforward, adds Anders Bergstedt, Sales Engineer. A hot or cold steel plate is placed between an upper and lower mould which is designed by Deform and the plate is formed into the required shape.

Keeping the shape and properties of the high strength steel after the forming process is what makes Deforms offering unique, ac-cording to Lundstedt, and popular with high end and demanding clients in the defence, marine, nuclear and oil and gas industries.

Deform argues that using just one single plate instead of welding several pieces together, has advantages for customers and end users alike. Not only are weaker spots around the welded areas avoided,

B

Trial assembly of a sphere destined for the nuclear power sector.

a hot formed 3D component.

8 SSAB WORLD # 2 / 2013

CASE: DEFORM

# 2 / 2013 SSAB WORLD 9

customers also save time and money on welding

activities. For end users, when high strength steel and 3D forming is used in combination, it often means a stronger, lighter weight product, which, in the case of a vehicle, is safer for the people sitting inside.

A big challenge for industry today is the struggle to keep a sustainable environment and reduce waste, says Lundstedt. Weight is a crucial issue in many industries, particularly in transport and mining where every kilo that is saved on the weight of the vehicle, can be added to the load. When a product or vehicle weighs less, it consumes less fuel and is better for the environment. In addition, the less steel that is needed, and less waste generated, the more environ-mentally friendly the product.

wHile tHe Benefits of ComBining high strength steel and 3D forming are many, Bergstedt emphasizes that customers need to calculate their return on investment before starting, as the moulds used for the forming are an initial cost.

Sometimes it doesnt make sense to invest in the mould. You need to decide if it will save you money, improve your product and protection level of the product. You cant just get one test piece and see if it works; thats the only downside of 3D forming.

Deform has been working with SSABs steel prod-ucts for over 20 years; Armox is used in many plates formed for protection use while Weldox and Hardox are used in other applications.

Many of Deforms plates are put to the test in tough environments. Its mine protection plates are often found under tanks and armored vehicles and Weldox is often used in the shell and pressure hull on subma-rines. If a suspicious package is found at the airport, it is placed inside a blast chamber most likely made out of 3D-formed high strength steel plates and transported away for safe detonation.

When using thick mild steel welded together, the containers become so heavy that they are compli-cated to transport, explains Lundstedt. Today, the containers can be produced using hot formed, quenched and tempered Weldox steels which are 3D formed. The two half spheres are manufactured in two whole pieces without using any welding. This method and the use of Weldox steel allows the designers to reduce the thickness of the chamber by two-thirds without losing any strength. This makes the new container lighter and easier to transport.

The relationship with SSAB has worked well for De-form, and is one which they hope to strengthen in the future. They have top quality steels and a good reputa-tion globally, and we have the expertise in applying 3D forming to their high strength steels. At the same time, we benefit a lot from their global network and excel-lent technical support, concludes Lundstedt.

CASE: DEFORM

This method allows the designers to reduce the thickness of the chamber by two-thirds without losing any strength. CONNY LUNDSTEDT SaLES MaNaGEr DEFOrM

Top: hot forming and tempering demands accurate temperatures, large presses and skilled operators.Bottom: 5 mm thick hot formed 3D component.

10 SSAB WORLD # 2 / 2013

aBout deform

founded: 1907located: Head office in Degerfors, central sweden; branch office in Vancouver, Canada. employees: 45Business: 95% of its turnover comes from 3D hot and cold forming of steel plates; 80% of its products are exported. machining, surface treatment, lining and assembly can be added to provide the customer with a tailor-made productCustomers: Defence and security, submarine, nuclear, oil and gas, pa-per and pulp, construction industries worldwiderelationship with ssaB: Has col-laborated for more than 20 years with ssaB, offering three-dimensional (3D) forming on high strength steel mainly Hardox, Weldox and armox in all grades. www.deform.se

CASE: DEFORM

highly complex 3D plates for use in mine protection.

# 2 / 2013 SSAB WORLD 11

emerging markEtsTHEME

new Beginnings

by isaBelle Kliger photo getty images

Emerging markets are defined as nations in the process of significant growth and industrialization. While the BriC countries of Brazil, russia, india and China are the most rapidly developing economies globally, other areas of growth include argentina, Chile, south africa, indonesia, mexico and the Baltic states. steel plays a part in all of these markets, in one way or another.in this issue of ssaB World, we summarize the key issues

facing three important emerging markets, and hear from three of ssaBs customers, the challenges and oppor- tunities that they face there.

1

2

3

faCts in numBers

Increase in Chinese crude steel

9%production in Q1 2013

faCts & numBers

12 SSAB WORLD # 2 / 2013

emerging markEts

CHina is tHe major eConomiC powerhouse in Asia and SSABs top market in the region. Although its booming economy is a massive driver of the global demand for energy and raw materials, 2012 saw a slowdown in Chinas growth, with the mining and construction industries suffering as a result. As growth continues to slow, the demand for natural resources is expected to become more moderate.

In 2012, Australia demonstrated continued strong growth within mining, although demand in this and other segments weakened towards the end of the year. While only a small percentage of appli-cations in India are based on high-strength steel, long-term growth predictions here are positive. The Indian government has set extremely ambitious targets for infrastructure development in the 2012-2016 timeframe.

The top market segments for SSAB in the Asia Pacific region are material handling, including mining and cement, and construction machinery, including lifting, heavy transport and automotive. SSABs Domex range is used primarily by trailer and truck manufacturers, while Hardox is the material of choice for yellow goods and construction machi-nery, body builders and containers, as well as in raw-material handling and recycling. Weldox tends to be used by manufacturers of cranes and other lifting applications, while Docol is specifically intended for car manufacturers and their suppliers.

SSAB is more than a steel supplier, says SSABs Head of Sales for Asia Pacific, Magnus Hasselgren. We focus on our customers business needs, in order to deliver added value to them. This means offering local, advanced technical support and, depending on the in-dividual needs of each customer, we can help them de-velop and optimize their applications of high-strength steel, by providing recommendations on design and welding, as well as technical training. Customers choose SSAB because our customized offer adds value not only to them but also to their customers.

faCts in numBers

1. asia paCifiC

Chasing market posi-tion in miningCHinese produCer of coal-mining machinery and special vehicles, Lianyuangang tianming, was the first of its kind to only use ssaBs Hardox wear plates in its mining machinery mr. shiwei Chen, Vice President of Lianyungang tianming, explains why.

what is your business? Lianyungang tianming Equipment Co. develops and manufactures high-end coal mining machinery and special vehicles.

what opportunities and challenges do you face? Our coal-mining machinery has grad-ually replaced similar imported models on the Chinese market. We have a strong market position and are in a phase of rapid growth. the government favors high-end, locally manufactured equipment over imports, while custom-ers also prefer to buy locally and this has helped us a great deal. tianming is very innovative and always quick to respond to market demands.

why did you choose to work with ssaB? tianming was the first Chinese producer of coal-mining machinery to only use ssaBs Hardox 400 and Hardox 450 wear plates and this superior material has given our prod-ucts a competitive advantage. Were confident that we will always receive the best support from ssaB, in terms of delivery times and pricing and, over time, hope to build a strategic partnership. We believe that this will enable us to achieve an even better market position.

Customer Case

Increase in Chinese crude steel

9%Million miles of new roads built

1,25 Min India since 1947

GDP that comes from mining

21,8%in Mongolia

faCts & numBers

sOUrCE

: World steel assoc

iatio

n

# 2 / 2013 SSAB WORLD 13

emerging markEtsTHEME

faCts in numBers

soutH ameriCa is a developing region, with vary-ing levels of maturity across different sectors and countries. There is an urgent need for infrastructure development in most countries, while other areas, such as financial services, are well developed. The economies of most South American countries rely heavily on the production of raw materials, such as minerals and soya.

While Brazil is the main economic driver in the region, with huge growth opportunities in many sec-tors, its challenges include rising inflation, a complex tax system and protectionism. Argentina also faces similar problems. Meanwhile, countries such as Peru, Chile, Columbia and Panama, which are also growing rapidly, have considerably more open economies.

SSABs General Manager for South America, Pedro Martin, explains that SSAB targets any com-pany seeking to boost its competitiveness through the use of Advanced High-Strength Steel (AHSS) and Quenching Steels.

Our customers believe in using technology to gain a competitive advantage, he explains. At SSAB, we seek to understand the needs of our cus-tomers in order to create an optimum solution. This may vary from delivering superior-quality material, to providing complex engineering and consulting services or designing and developing parts and components for specific applications. We tailor these services on a case-by-case basis, according to the customers needs.

Although the key segments for SSAB in South Ameri-ca are heavy transport and raw-material handling, this varies from country to county. For example, there is a growing need for agriculture and construction equip-ment in Brazil, while Chile has a vibrant mining sector.

The race for industrialization is the key concern across the region, continues Martin. Companies who choose SSAB tend to be driven by objectives such as competitiveness, leadership, timing and efficiency. If they recognize that leading-edge technology can give them a competitive advantage, we will provide all the necessary services and support to enable them to maximize profitability.

2. soutH ameriCa

The image of South america often portrayed in films is far from the truth of this rapidly industrialising continent.

The race for industrialization is the key concern across the region.pEDrO MarTINSSaBS GENEraL MaNaGEr FOr SOUTh aMErICa

Estimated USD investment in Brazils infrastructure

800 Bbetween 2008 and 2013

Growth predicted in steel use

6,2%in Central and South America in 2013

faCts & numBers

14 SSAB WORLD # 2 / 2013

sOUrCE

: World steel assoc

iatio

n

emerging markEtslooking for new opportunitiespastre is a Brazilian trailer manu-facturer that has been in business for almost 65 years. ssaB World caught up with Bruno pastre, research & Devel-opment manager, to find out more.

what is your business? at first we were an automotive work-shop, but we started manufacturing tipper bodies in the 1970s and entered the heavy-duty semi-trailer market in the 1980s. in 2005, we began our partnership with ssaB.

How do you work with ssaB? Our use of Domex 700, Domex wear, Docol 1000DP and Hardox 450 has helped us establish ourselves as in-novators, offering resistant, lightweight products. Weve reduced the weight of our products by about 25 percent, which has had a direct impact on fuel and tire economy, as well as increasing payload. Our partners at ssaB have always listened to our needs and Pastres engineers rely on them to support product development and field test new products.

what challenges and opportunities do you face? Brazil is growing, but not as much as expected. as an innovative com-pany, Pastre seeks to stay ahead of the competition by listening to its customers and their requirements. Our engineering and marketing depart-ments are constantly looking for new opportunities to deliver the most innovative, high-tech, top-quality lightweight products to the market.

Customer Case

Increase in finished steel imports

56%by Latin America in Q1 2013

Increase in steel imports to Chile

12,5%in 2012

# 2 / 2013 SSAB WORLD 15

emerging markEtsTHEME

faCts in numBers

reCent prediCtions indicate that GDP in Eastern Europe will expand by 2.6 percent in 2013. While some of the regions powerhouses, including Russia and Poland, are suffering from the effects of the 2008 downturn and the Eurozone crisis, the outlook for countries such as Turkey and the Czech Republic and the Baltic economies of Estonia, Latvia and Lithuania, remains positive.

With its close links to the west, Central Europe has been most severely impacted by developments in the Eurozone. However, things are starting to look up amid a gradually improving industrial sector and rising consumer and business confidence. Central Europe is home to several key industrial players, including Czech Agrostroj, one of Europes top steel-processing subcontractors, and PESA in Poland, which competes with Bombardier, Siemens and Alstom in the manufacture of trains and tramways.

Meanwhile, business in Russia, where SSAB has been established for more than a decade, is also taking off again, following the crisis of 2008. This is especially true in the mining and lifting segments. Another growing economy is Belarus, where Belaz, one of the worlds top producers of rigid dump trucks, is a key SSAB customer.

On the one hand, the business environment can be challenging, with a general lack of planning and a lot of ad-hoc activity, says SSABs Head of Sales for Eastern Europe, Torsten Wngmar. On the other, it can be incredibly rewarding. For all actors in this region, close relations are a must business is done between people.

The business climate is more open, agrees Bernd Schneide, SSABs Head of Sales for Poland and the Slovak and Czech Republics. People understand the importance of competitive advantage they no longer want to produce cheap copies of western products. Good ideas are always welcome and that really complements SSABs philosophy. We believe in being more than a steel supplier and that, by build-ing relationships, understanding our customers and supporting their design and production processes, we can help them take the lead.

3. eastern europe

For all actors in this region, close relations are a must, business is done between people.TOrSTEN WNGMarSSaBS hEaD OF SaLES FOr EaSTErN EUrOpE

Expected annual steel consumption

64 Min Russia, in tons, by 2020

Percent of SSABs Eastern European sales

50%to companies headquarted in the region

faCts & numBers

16 SSAB WORLD # 2 / 2013

emerging markEts

sOUrCE

: World steel assoc

iatio

n

the quest for innova-tion and high techwielton is tHe leading trailer manufacturer in Poland and the fifth largest in Europe. andrzej szczepek, Chief Executive, explains why his com-pany has chosen to partner with ssaB.

what is your business? Wielton produces trailers, semi-trailers and tippers. there was high demand in our home market due to infrastructure upgrades for the Euro football cham-pionships. this market is declining now; instead we export more than 70 percent of our products to russia, where we are a market leader in many segments.

what are the current trends in your market? Our main challenges are lean produc-tion and to develop lightweight ve-hicles that can accommodate higher loading volumes. to achieve this we cooperate with suppliers and with leading polish technical universities. innovation is crucial for market leader-ship thats why we invest heavily in our r&D department.

How do you work with ssaB? ssaBs Domex, Docol and Hardox high-strength steel plates are used in a wide range of Wielton products. the range of light tippers introduced at Bauma 2013 and Ctt moscow 2013 was based mainly on ssaB products. in 2011, we signed a consignment-stock agreement, which has facilitated our access to the products and steel types we require and enables us to react faster and with shorter lead time in a volatile market environment.

Customer Case

Business is booming in the former Soviet Block. Strong growth is predicted as more and more local companies take on established multi-nationals.

62 Mtonnes of finished steel products

Increase in growth predicted for

3,4%Eastern Europe in 2014

In 2012, Eastern Europe produced more than

# 2 / 2013 SSAB WORLD 17

ENTERTAINMENT

stEEL

BC

1800s

1881 steel sets sailLaunched on March 1st, the SS Servia was the first large ocean liner to be built of steel, instead of iron. She was also the first ship fitted with electric light, carrying her passengers in unrivalled luxury across the Atlantic in seven days.

ssaB World goes on a journey

through the history of steel

and its evolution over the last four

thousand years.

1858 Bessemer proCessThe modern era in steelmaking began with the introduction of the Bessemer process, developed by Henry Bessemer, in 1858. His method enabled him to use pig iron to pro-duce steel cheaply, in large quantities. As a result, mild steel came to replace wrought iron in many applications.

300 BC wootz steelEvidence of the earliest production of high-carbon steel was found in the Sama-nalawewa area of what is now Sri Lanka. It is believed that Wootz steel was first produced in India around 300 BC.

2000 BC first steel artefaCtThe earliest known steel product is a piece of ironware, which is about 4,000 years old. It was excavated from an archaeologi-cal site in Anatolia (ancient Turkey).

Servia cost around USD 40,000 to build in 1881; around USD 43,000,000 today.Wootz steel is recognizable from its bands

of micro carbides.

by isaBelle Kliger photo: getty images

18 SSAB WORLD # 2 / 2013

1800s

1900s

2000s

20th century steel as an indiCator of eConomiC growtHDuring the 20th century, the consumption of steel increased by an average 3.3 percent per annum. Historically, steel consumption increases when economies are growing, due to investments in infrastructure, trans-port and construction, while recessions tend to lead to a dip in steel production.

1885 BirtH of tHe sKysCraperChicagos 10-storey Home Insurance Buil-ding was the first building in the world to use a steel frame to support the weight of its walls. This method of building became known as the Chicago skeleton and ushe-red in the era of the modern skyscraper.

2013 1 world trade CenterOn 10 May 2013, a 408-foot steel spire was installed at 1 World Trade Center in New York City, bringing the official height of this symbolic building to 1,776 feet. 1 World Trade Center, which has been built around a steel superstructure, is now the tallest building in the western hemisphere and the third tallest in the world.

1883 BrooKlyn BridgeThis is the oldest suspension bridge in the USA, with a total length of 1,825 meters. Today, 130 years after opening, it still serves its initial purpose: connecting Man-hattan with Brooklyn. This bridge was the first in the world to use steel wires for its suspension structure.

1913 stainless steelThe first true stainless or rustless steel was melted in August 1913, by Harry Brear-ley, from Sheffield, England. In 1921, Vic-torinox, the original supplier of the Swiss Army Knife, started using stainless steel in its production of high-quality blades.

1950 BosThe Bessemer process became obsolete in 1950 with the introduction of Basic Oxygen Steelmaking (BOS), which limits impurities and can even process scrap metal into steel. These days, BOS accounts for the majority of steelmaking processes in the industrialized world.

250 tons of steel has gone into building the new World Trade Center.

FOCUS: US MANUFACTURING

returning HomeFor many years, U.s. manufacturing industries have been shipping more than their products overseas; they moved most of their production sites abroad, too. recent events seem to indicate that the tide is starting to turn, though, and manufacturing is making a comeback to american soil.

by joaKim Baage photo: getty images

20 SSAB WORLD # 2 / 2013

returning Home

# 2 / 2013 SSAB WORLD 21

industrial giant Caterpillar recently shifted some jobs back from countries in Asia to the United States and SSABs U.S. plants are reporting increased demand for steel. It seems that manufacturing is returning to US shores, but its still too early to tell to what extent. A major contributing factor is the recent surge in domestic drilling for gas and oil, which has provided the United States with an abun-dance of relatively inexpensive energy.

Were seeing an especially large demand from the energy sector here in the U.S. Our Alabama plant is very busy producing a lot of pipeline steel, as well as steel for rail cars designed to carry petroleum, says Ben Kowing, General Manager, Market Develop-ment, North America, SSAB.

The domestic energy boom in the U.S. is also fueling a resurgence of U.S. manufacturing in other industries, although many of those gains are still anecdotal and may also be due to overall improve-ments in the economy.

Recently, weve seen considerable gains in the auto sector, which yields benefits throughout the auto supply chain. Weve also seen high profile anecdotes of reshoring by tech companies such as Google, Apple, and Lenovo, says Scott Paul, President of the Alliance for American Manufacturing (AAM).

But lets Be Clear about one thing: Its still cheaper to build things in China than in the United States. However, the famously low Chinese wages have risen to a level where companies are contemplating where outsourcing is worth the risks. Scott Paul of the AAM:

U.S. manufacturing is more competitive now because of lower energy costs, the high productiv-ity of U.S. workers, the desire to site innovation and production in the same facility, the need to mitigate supply chain risks and the unpredictability of ship-ping costs. Manufacturing on US soil also reduces

the risk of intellectual property theft, forced tech-nology transfer, and inventory control challenges.

Take all that into account and add government in-centives, and you start to see why it makes sense for a company like Caterpiller to be moving production of its compact machines from Asia to the U.S.

tHe Company opened a new state-of-the-art hy-draulic excavator manufacturing facility in Victoria, Texas, last year. In doing so, Caterpillar has received monetary and administrative support from the Texas Enterprise Fund (TEF). TEF has invested more than $470 million and closed the deal on projects generating more than 63,400 new jobs and more than $22.3 billion in capital investment in the state, according to its own website.

Caterpillar is no stranger to the way we do busi-ness here in Texas, and theyve made it clear, through commitment after commitment, they like what they see, Texas State Governor Rick Perry said. We hap-pily return that sentiment and remain committed to our successful formula of low taxes, predictable regulations, fair courts and skilled workforce that has made Texas jobs climate second to none.

But, in spite of Perrys enthusiasm over the jobs climate in Texas, the manufacturing that is on the rise in the U.S. is smart manufacturing, that is to say highly mechanized and so far its leading to a trickle of new jobs, not a flood.

Making predictions on employment gains is risky business. In 2013, the rate of growth has been anemic. Some observers believe it is possible to add up to two million new manufacturing jobs, and President Obama has declared a goal of creating one million manufacturing jobs by the end of his second term. To make major gains in manufacturing jobs, which is possible, well need to see reshoring happen in earnest through favorable economic conditions and smarter public policies, says Scott.

FOCUS: US MANUFACTURING

Manufacturing on US soil also reduces the risk of intellectual property theft, forced technology transfer, and inventory control challenges.SCOTT paULprESIDENT OF ThE aLLIaNCE FOr aMErICaN MaNUFaCTUrING (aaM)

tHe HigHs and lows of us manufaCturing

1,1% In the last 12 months the U.S. average

wage decreased by 1.1 percent. In China, the same figure increased by 12.5 percent

47 000 Average workers wage in the US:

USD 47,000 per year

520 000 Number of new U.S, manufacturing jobs

since January 2010: 520,000

50 000 Number of those from companies moving manufacturing back to US shores: 50,000

6 000000 Number of manufacturing jobs

lost between 2000 and 2009: 6 million

8 700 Average workers wage in China:

USD 8,700 per year

Caterpillar is just one of many companies that are starting to return to U.S. shores.

22 SSAB WORLD # 2 / 2013

WorldSSAB

Held every tHree years in munich, germany, Bauma is the worlds largest international trade fair for construction machinery, building materials, mining machines, construction vehicles and construction equipment. the 2013 event had a record 530,000 visi-tors from 200 countries and 3,420 exhibitors.

not only did this edition of Bauma break all previous records for exhibitor numbers and exhibition space, it also attracted the highest number of visitors ever. this is very good for our industry in these turbulent times and it will certainly give it a boost, said Johann sailer, Chairman of the Construction Equipment and Building material machinery association of VDma and President of the Committee for the European Construction Equip-ment industry (CECE).

With a 130-square-meter, two-floor stand, ssaB seized the opportunity to meet many of its key custom-ers. Experts from ssaBs technical team held steel talks and live presentations demonstrating the benefits of high strength steel and how customers and end users can benefit economically and environmentally from ssaBs upgrades and new models and materials. the informal central bar was a popular meeting spot for networking with visitors and other exhibitors.

For Jenny kantelius, Project manager marketing, it was her first time at Bauma. the highlights for me were the steel talks and the swedish Lounge, she says. the swedish lounge created -for the first time - a quiet space where we could meet specially invited customers in a relaxed swedish-style atmosphere showing where ssaB comes from. Our history is something to be proud of.

the clear trend and message emerging at Bauma was that customers want to build smarter, lighter weight,

safer and stronger machines and, at the same time, working towards a better environment.

ssaB launched new products such as the higher grades Domex 900, 960, 1100 and the collection of high strength steel tubes and profiles. the whole Domex family now includes strength levels from 240 to 1, 100 mPa. Visi-tors to the stand could learn about the new Wear service offering and find wear products in ssaBs iPad catalog. Other highlights were the worlds widest steel range for a wear plate, scratch and bend tests for Hardox, and the heat resistant wear plate made in toolox for use in extremely high temperatures.

Hardox in partiCular stood out, as many cus-tomers presented Hardox at their own stands. it was the most visible product brand at the fair you could see the Hardox logo and brand color everywhere, says kantelius. Our customers love to promote Hardox and they are very proud of the worlds most famous steel brand. We always try to offer stickers, printed material and other promotional material to our customers who are exhibiting so we can reach out with our product brands as much as possible.

Besides displaying new products and networking with global partners and customers, Bauma is also about taking orders and closing deals. We made many con-tacts who might be potential customers in the future. many people asked for our products and wanted help with different projects to develop their production and try our material, kantelius adds.

the energy at the fair, she concludes, was amazing. i expect a lot of good things to come from the show and new orders; we made a lot of new friends from around the globe who are really interested in our products.

by alannaH eames photo stefan eK

ssaB on display at Bauma

NEWS IN BrIEF n BUSINESS n pEOpLE

The Swedish lounge created for the first time a quiet space where we could meet specially invited customers in a relaxed Swedish-style atmosphere showing where SSAB comes from.JENNY kaNTELIUSprOJET MaNaGEr MarkETING

# 2 / 2013 SSAB WORLD 23

w

WorldSSAB

witH 115 partners worldwide, Hardox Wearparts is the largest supplier in the global wear parts market. to tap further into this large market and provide end users with a comprehensive wear parts solution, ssaB plans to extend and broaden the program.

Over the next three years, ssaB will increase the number of Hardox Wearparts Centers worldwide by around 50 percent. the products and services offered by each center will also be widened. in the future, the centers will sell not just wear parts made out of Hardox plates, but also complementary material such as overlay plate, castings, cutting edges, etc. in addition, the centers will offer end customers repair and installation services. For example, a customer application like a bucket or a tipper body can be brought to a Hardox Wearparts Center for repair or it can be re-paired on-site at the end users facility.

the objective of the reinforced Hardox Wearparts strategy is to focus more on the end user for example, a maintenance man-ager at a mine, glass recycling facility or power station. a wear services manager from the Hardox Wearparts Center will do a wear audit at the customer, run a technical report of the different wear situations and offer the cus-tomer a comprehensive service agreement for all the wear parts needs; the Center will be the main point of contact for the maintenance manager at that site.

We want to be at the top of the main-tenance manager of a mine or factorys telephone list when he has a wear-related issue, says Chris Van Beurden, Vice Presdent Wear services EmEa. today, this person buys wear parts from a Hardox Wearparts Center,

overlay plates from another supplier, whilst yet another company carries out the welding and repair work. the plan is to simplify the process and provide him with one point of contact via his local Hardox Wearparts Center.

the response from all Hardox Wearparts Centers has been enthusiastic, he adds. We are building on what our partners have today and helping them become a more interesting and complete supplier for their customers.

NEWS IN BrIEF n BUSINESS n pEOpLE

by alannaH eames

We want to be at the top of the maintenance manager of a mine or factorys telephone list when he has a wear-related issue.ChrIS VaN BEUrDENVICE prESDENT WEar SErVICES EMEa

wear serviCes on tHe inCrease

a wear audit is just one of the many serices hardox Wear- parts offers.

24 SSAB WORLD # 2 / 2013

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sinCe 2012, ssaB has been running steel & applications training courses in swedish and English several times a year.

the courses covering steel production, the properties of steel and usage of high strength steels in design and manufacturing - are targeted at new employees in companies which work with steel products, or people who have recently changed position and want to refresh their knowl-edge of high strength steel.

the two- and three-day courses take place at an ssaB production facility and include a tour of the steel mill. so far, the courses have been

conducted in sweden; the program in Oxelsund has focused on wear resistant steels while the one in Borlnge has concentrated on structural steels. more advanced technical seminars - such as structural design using high strength steel, the forming of high strength steel, and welding and thermal cutting of high strength steel - can be organized for customers on request.

the aim of the training is to give our customers a better knowledge of high strength steel and how it can be used efficiently in order to improve the business and help them become more competi-tive, says nancy matos, Director ssaB academy.

ssaB reCently launched Domex 900, 960 and 1100 strip products. the new Domex products have been developed and produced at ssaBs facility in Borlnge, sweden, and are part of the companys drive to expand its product portfolio after implementing the new cooling line two years ago. the three new products have been tried and tested by customers worldwide in the lifting and transportation industries.

Combining the normal benefits of high strength steel with good formability and welding properties, the Domex 900 and 960 strip prod-ucts are particularly suitable for lifting equipment like sky lifts and medium-sized cranes which need a long reach; the 900 and 960 grades can be used in all parts of the cranes boom.

the new steels have also proved popular amongst vehicle manufacturers wanting to use the lightest steel possible without compromising on safety protection. For example, truck and bus manufacturers can use Domex 900 or 960 for

cabin protection beams in the vehicle. the high strength steel protects passengers in case of an ac-cident and reduces the weight of the vehicles body.

Domex 1100 is suitable for similar applications and enables an even lighter design solution for use in, for example, the last meters of a cranes boom, which need to be the lightest.

the new high strength strip products are ideal for lifting applications and the transport business in general, says Johan Broback, ssaBs Director structural steels. and, even if clients increase the strength of the material in their application, they can still easily form and weld it. this means it should be possible for many customers to upgrade without needing large investments in new machines.

ssaB was one of the first steel companies to introduce a mobile app and now goes a step further, with the launch of an updated version. the updated app features enhanced product data and contact details, as well as barcode scanning, a tool for checking stock availability and a welding calculator.

the app is primarily intended for our cus-tomers, says anna Esberg from ssaB market solutions. instead of having to search for old brochures in desk drawers, it provides all the tools, data and information they need literally in their pockets.

the app contains useful information about ssaBs products and steel grades, along with datasheets and parameters, as well as workshop instructions for processing steel. the 2.0 version also features new tools such as WeldsaveCalc, which allows users to calculate potential produc-tion savings in the welding process depending on material and design choices and a barcode scanner, which automatically provides product information from the barcode on a product. the new version of the app will also enable users to check stock availability in the Hardox and toolox product ranges.

in the original 1.0 version, the contacts and products functions were among the most popu-lar features, along with the workshop descriptions and datasheets. i expect the Hardox stock search function and the barcode scanner to be some of the hottest features in the new 2.0 version, adds Esberg. at present, some of the features are still EmEa-specific, but were planning to roll them out to our global users further down the line.

the brand-new 2.0 version of the ssaB app is now available for download free of charge from the app store for iPhone or google Play for android.

ssaB updates app

HigH strengtH Knowledge

by alannaH eames

ready to learn.

domex Carries tHe load

Strength is a key factor in forestry equipment.

# 2 / 2013 SSAB WORLD 25

WorldSSAB

ssaBs new tuBes are made from high strength steel grades between 16 and 133 millime-ters, in thicknesses of 0.5 to 6 millimeters. they are ideal for customers developing new products or improving existing ones, and can be used in proto-types, trial material or for low-volume production. the tubes are targeted at customers who want to upgrade mild steel tubes to make their structure lighter and more durable, but they can also be used to replace other materials such as aluminum.

the Docol r8 circular tubes have been specially developed for roll cages and chassis structures in rally and racing vehicles. they have been approved by american drag racing authority sFi Foundation for use in speciality and performance automotive and racing equipment.

this will not automatically mean approval in other race regulations, administered by, for ex-ample, Fia, but it is an important stamp of approval as it validates the quality of the product, says anna stiwne, Product manager tubes & Profiles.

also new, the Docol 800 range includes several

thin-walled circular, square and rectangular tubes. they are suitable for customers who want to upgrade mild steel tubes to make their struc-tures lighter in weight. Depending on the design, a high strength steel tube structure can mean a weight reduction of 40 percent compared to a mild steel tube design. the Docol 800 tube can

also replace aluminum in many applications, a good option for customers wishing to make their product more durable, but not heavier. swedish pram producer, Emmaljunga, recently replaced aluminum tubes with high strength steel Docol 800 circular tubes; the result is a more robust construction with the same weight as before. the transition is also better for the environment as it requires a new sur-face treatment, which will reduce water consumption during the process by 90 percent.

Other products in the new tube collection include Domex Profile 700 and Hardox tube 500. the Do-mex Profile 700 hollow square and rectangular tube sections are suitable for use in agricultural machin-ery, trailers and other heavy transport structures. the Hardox tube 500 is a circular wear-resistant steel tube which is as hard as flat Hardox steel; it can be used in applications where abrasive fluid material such as concrete needs to be moved.

ssaB has some of the new tubes in stock for dis-tribution worldwide; others are produced on demand according to customer requirements.

It is an important stamp of approval as it validates the quality of the product.aNNa STIWNEprODUCT MaNaGEr TUBES & prOFILES

by alannaH eames

tuBes expand to meet Customer demand

SSaBs tubes are suitable for all manor of applications.

26 SSAB WORLD # 2 / 2013

WOrLDWIDE NETWOrk FOr harDOX-CErTIFIED WOrkShOpS

hardoxwearparts.com

sustainaBility and profitThrough hardox Wearparts, SSaB can offer wear solutions worldwide to the aftermarket. The network was established in 2001 and today has around 100 members all over the world. From designed wear parts to full scale wear solutions we help end users to a more sustainable and profitable business. Visit www.hardoxwearparts.com for more information.

eCCofaB inC.CEO: gerald (gerry) BauerFounded: 1974Employees: 4Located: rockford, illinois, UsaOperations: Builds custom wearparts for end users in the aggregate industry out of Hardox 400/450 and 500 material.

eCCofaBs Ceo gerry Bauer is quite a Har-dox fan. not only has he worked with the product for almost 30 years, EccoFab was one of the founding members of the Us Hardox Wearparts network. Hes also got the Hardox logo emblazoned on his truck, building and work jackets.

thirteen years ago, Bauer heard rumors that Hardox was thinking of setting up a member network and signaled his interest in being part of it. We had been using the products for a long time, and it was a natural evolution of our relationship, he explains. Fast forward to 2003 and we finally got our mem-bership, making us one of the founding members of the United states network.

EccoFab began experimenting with Hardox, as Bauer puts it, back in 1983. today, the company produces customized Hardox 400/450 and 500 wearparts for its clients across the country.

Participating in the many Us tradeshows that Hardox attends has been a major advantage of the network, he believes. it is the interaction with the most loyal Hardox customers, Hardox professionals from around the world and other members of the Wearparts network that i value. i learn so much from talking to these individuals, listening to how they use Hardox to solve real-life problems.

Business-wise, he believes EccoFabs business has been less cyclical with a larger client base, thanks to the membership. this is a result of the steps we pro-actively took after becoming a member to advertize and grow our Hardox-branded business.

Bauer shares some words of advice to new mem-bers: Being a member is what you make of it. By attending trade shows, advertizing our brand along-side the Hardox brand for all these years, weve been able to leverage the opportunity greatly.

by alannaH eames photo nels aKerlund

Being a memBer is wHat you maKe of it

# 2 / 2013 SSAB WORLD 27

www.domex.net

1100960900

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650600550

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Domex 900, 960 and 1100 are the latest generation of advanced high strength steels that set a new standard for lighter, stronger and more sustainable structures.

Unlike other high strength steels Domex is a multi-skilled steel that creates benefits for all users. We call these benefits the Domex-factors x

You and Domex. With SSAB knowledge and Domex multi-skills -you get a unique combination of built-in key properties and environmental benefits, with yield strengths from 240 to 1100 MPa. Domex High Strength steel is a foundation for sustainable profitability today and tomorrow.

Multi-skilled x

The new Domex 900, 960 and 1100.Turn your visions into reality.