ArcelorMittal Lázaro Cárdenas steel plant

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ArcelorMittal Lázaro Cárdenas steel plant (Siderúrgica Lázaro Cárdenas), also known as Las Truchas, Sicartsa (predecessor), is a steel plant in Lázaro Cárdenas, Michoacán, Mexico that operates blast furnace (BF), direct reduced iron (DRI), electric arc furnace (EAF), and basic oxygen furnace (BOF) technology.

Location

The map below shows the exact location of the plant in Lázaro Cárdenas, Michoacán, Mexico:

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  • Location: Av. Francisco J. Múgica No. 1, Col. Centro, CP 60950, Cd. Lázaro Cárdenas, Michoacán, Mexico
  • Coordinates (WGS 84): 17.930688, -102.201498 (exact)

Background

Occupying a nearly 1000-hectare site on Mexico's Pacific coast, ArcelorMittal Lázaro Cárdenas is Mexico's largest steel plant. The plant commenced operations in 1976 as a government-owned enterprise under the name Sicartsa (Siderúrgica Lázaro Cárdenas – Las Truchas).[1][2]

The plant's 6.4 million tons of steel-making capacity are split between two units. The original long steel division, known initially as Sicartsa I and subsequently renamed ArcelorMittal México Aceros Largos, uses traditional blast furnace/basic oxygen furnace technology.[3] The newer flat steel division, originally named Sicartsa II and later renamed ArcelorMittal México Aceros Planos, was built in the early 1980s incorporating a variety of state-of-the-art equipment including a pelletizing plant, a battery of four electric arc furnaces, and the world's first DRI (direct reduced iron) plant using the HyL III technology pioneered by Mexican steelmaker Hylsa.[4][5]

In the early 1990s, as the Mexican government moved to privatize its national steel industry, Sicartsa I was sold to the Mexican steel company Grupo Villacero[6], while Sicartsa II was acquired by Indonesia-based Ispat International.[2][7]

In 2005, Ispat International merged with International Steel Group and LNM Holdings N.V. to create Mittal Steel, which in turn acquired European steel giant Arcelor S.A. in 2006 to form the international conglomerate ArcelorMittal.[8] Later that year, ArcelorMittal acquired the Sicartsa I plant from Grupo Villacero, reuniting both halves of the Lázaro Cárdenas plant under a single owner with the new name ArcelorMittal Lázaro Cárdenas.[9]

Today the long steel division, with a capacity of 2.4 million tons per annum, specializes in rod and wire rod for the construction industry[3] and accounts for roughly three eighths of the plant's production.[10] The flat steel division, with a capacity of 4 million tpa, specializes in steel slabs destined for a wide range of international markets[5], accounting for the remaining five eights of the plant's production.[10] Iron ore for the pelletizing facility is shipped directly from ArcelorMittal's Las Truchas mine to the steel plant via a 27-kilometer ferroduct.[11]

In 2017, AM Mexico said it would be adding a 2500 ttpa BOF plant at the site, representing an investment of $1 billion.[12]

In 2020, Mexican officials entered AM Mexico and shutdown part of plant; it is still unclear what happened.[13]

In 2021, the AM Mexico announced it would be completing its new BOF plant by the end of the year.[14][15] However, as of February 2022, no update on the completion of this plant has been published.

On March 2024, the plant had a fire on one of its four EAFs units at its facility. The fire was due to a failure in an electrical power transformer, causing a temporarily drop in production output by 25 percent.[16]

On May 2024, the plant idled its BF unit due to a blockade and strike by the plant's union workers. On July 18, 2024, an agreement was reached and the restart of the BF was scheduled for Oct 16, 2024.[17] On that date, ArcelorMittal reported experiencing technical problems for the restart of its BF in Lázaro Cárdenas, but signaled that they were to be resolved soon.[18]

Plant Details

Table 1: General Plant Details

Start date Workforce size Iron ore source
1976-11-04[19] 8000[19] ArcelorMittal Las Truchas is a mining site in Lázaro Cárdenas that produces 3000 thousand metric tons per annum[20]

Table 2: Ownership and Parent Company Information

Parent company Parent company PermID Parent company GEM ID Owner Owner company PermID Owner company GEM ID
ArcelorMittal SA 5000030092 E100000000687 ArcelorMittal México SA de CV[21] 5000020014 E100001000501

Table 3: Process and Products

Steel product category Steel products Steel sector end users ISO 14001 Main production equipment
semi-finished, finished rolled[22] slab, wire rod, rod, billet[21] automotive, building and infrastructure, energy, steel packaging, tools and machinery, transport[21][23] yes[24][25][19] BF; DRI; EAF; BOF

Table 4: Plant-level Crude Steel Production Capacities (thousand tonnes per annum)

1Please see our Frequently Asked Questions page for an explanation of the different capacity operating statuses.
Capacity operating status1 Basic oxygen furnace steelmaking capacity Electric arc furnace steelmaking capacity Nominal crude steel capacity (total)
operating 2500[26][27][28] 4000[23][29][30][24][31] 6500[23][29][30][24][28][32][26][33]

Table 5: Plant-level Crude Iron Production Capacities (thousand tonnes per annum)

1Please see our Frequently Asked Questions page for an explanation of the different capacity operating statuses.
Capacity operating status1 Blast furnace capacity Sponge iron/DRI capacity Nominal iron capacity (total)
operating 1452[24][34] 3200[35][36][37][38] 4652[39][40][34][36][37][38]

Table 6: Upstream Products Production Capacities (thousand tonnes per annum)

Pellets
1300[41][24][42][43][44]

Table 7: Actual Plant-level Crude Steel Production by Year (thousand tonnes per annum)

Year BOF production EAF production Other/unknown steel production Total (all routes)
2019 1503[22] 2197[22] [22] 3700[22]
2020 1463[45] 2138[45] -1[45] 3600[45]
2021 1503[46] 2197[46] [46] 3700[46]
2022 1104[43][24] 2596[43][24] [43][24] 3700[43][24]
2023 1140[47] 2660[47] [47] 3800[47]

Table 8: Actual Plant-level Crude Iron Production by Year (thousand tonnes per annum)

Year BF production DRI production Total (all routes)
2019 1039[48][49] unknown[50][49] 1039[51][49]
2020 1140[52] unknown[53] 1140[54]
2021 1206[55] >0[55] 1206[55]
2022 1100[56] 3189[56] 4289[56]
2023 1000[57][58] 3232[57][58] 4232[57][58]

Unit Details

Table 9: Blast Furnace Details

Unit name Status Start date Furnace manufacturer and model Current size Current capacity (ttpa) Decarbonization technology Most recent relining
BF 1 operating[46] 1976[59][60] unnamed "Italian manufacturer"[59] 1712.0[58] 1452[24][34] unknown 2019-02[61]

Table 10: Direct Reduced Iron Furnace Details

Unit name Status Start date Furnace manufacturer and model Furnace type Current capacity (ttpa)
DRI I operating[38] 1997[39] Midrex[39] shaft furnace 1200[62][36][38]
DRI II A operating[39][38] 1988[39] HYL III 500[37][39][38]
DRI II B operating[38] 1988[57] 500[63][37][38]
DRI III A operating[38] 500[64][37][38]
DRI III B operating[57][38] 1991[57] 500[65][37][38]

Table 11: Electric Arc Furnace Details

Unit name Status Start date Furnace manufacturer and model Current capacity (ttpa) Current size (tonnes)
unknown EAF (1) operating[22][66][26][67][68] 1988[69] NKK[70] 1000[31][29][23][24][30] 222.0[70]
unknown EAF (2) operating[22][66][26][67][68] 1988[70] NKK 1000[31][29][23][30] 222.0[70]
unknown EAF (3) operating[22][66][26][67][68] 1988[70] NKK[70] 1000[31][29][23][30]
unknown EAF (4) operating[22][66][26][67][68] 1988[70] NKK[70] 1000[31][29][23][30] 222.0[70]

Table 12: Electric Arc Furnace Feedstock Details

Unit name Scrap-based % scrap % DRI
unknown EAF (1) yes[71] 2.00[72] 98.00[73]
unknown EAF (2) yes[71] 2.00[74][70] 98.00[75]
unknown EAF (3) yes[71] 2.00[76] 98.00[77]
unknown EAF (4) yes[71] 2.00[78] 98.00[79]

Table 13: Basic Oxygen Furnace Details

Unit name Status Start date Current capacity (ttpa) Current size
unknown BOF (1) operating[27] 1976[27] 1300[27] 95.0 m3[27]
unknown BOF (2) operating[27] 1976[27] 1200[26][28] 92.0 m3[27]

Articles and Resources

Additional data

To access additional data, including an interactive map of steel power plants, a downloadable dataset, and summary data, please visit the Global Iron and Steel Tracker on the Global Energy Monitor website.

References

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