AK Steel to Produce Next-Generation Advanced High Strength Steels

AK Steel

today announced plans to introduce one of the first commercially available Next-Generation Advanced High Strength Steels in the world. The new technology produces significantly improved formability at higher ultimate tensile strength levels, which provides automotive customers greater opportunities for lightweighting. The $29 million project includes modifying the current Hot Dip Galvanizing Line (HDGL) at AK Steel's Dearborn Works, using new process technology to produce both coated and cold-rolled Next- Generation Advanced High Strength Steels on the same line. Modification of the HDGL is expected to be completed by the Fall of 2016, with new products being shipped to customers by early 2017. "We are excited to take this major step forward to provide Next-Generation Advanced High Strength Steels that meet our customers' needs," said James L. Wainscott, Chairman, President and CEO of AK Steel. "These new process and product technologies will enable us to introduce a family of steels that have improved formability, and give automakers greater flexibility and improved safety performance to lightweight their vehicles. By working closely with our customers, we are taking this strategic step forward to design and produce outstanding products to help them meet Corporate Average Fuel Economy (CAFE) standards," Mr. Wainscott said. Dearborn Works was selected for this project due to the configuration of its existing galvanizing line and state of the art technology. Commissioned in 2011, the HDGL allows for efficient modifications to produce these Next-Generation Advanced High Strength Steels. The modifications enable AK Steel to install the new technology to produce coated and cold-rolled products at a fraction of the cost of a new production line. AK Steel acquired Dearborn Works, located in Dearborn, Michigan, in September of 2014. The acquisition has helped strengthen AK Steel as a premier North American steel manufacturer and enhanced the company's ability to serve customers with increased size, scale and operational flexibility. Separately, in February of 2015, AK Steel announced plans to build a new, $36 million world-class Research and Innovation Center in Middletown, Ohio. The new facility will be customer-focused, providing advanced technical support to AK Steel's valued customers, and enhance the company's capabilities to bring new products to the marketplace, including new Stainless Steels, High Efficiency Electrical Steels, as well as Next-Generation Advanced High Strength Steels when it opens in late 2016.