Ovako has decided to invest EUR 11 million in the production plant in Smedjebacken to meet the rising demand for high-quality steel. A new vacuum degassing facility will improve the properties of the steel and create new business opportunities in sectors such as the automotive industry.
With support of the new owners Nippon Steel & Sumitomo Metal Corporation, Ovako is continuing to invest in strengthening its position as a world leader in advanced steel solutions. Adding vacuum treatment to the manufacturing process will strengthen the steel and improve its properties, making it suitable for the most advanced applications on the market.
“Demand for advanced steel solutions is accelerating, along with more stringent requirements for sustainability and flexibility. We are continuing to invest in our facilities in order to meet global market demand and further strengthen our competitiveness,” says Ovako President and CEO Marcus Hedblom.
Vacuum degassing also helps reduce the carbon footprint and cut energy consumption in production, which aligns with the company’s ambition to manufacture the most sustainable, cleanest and strongest steel solutions for its customers.
“We are very pleased that we can continue developing our customer offering. We have previously invested in further processing, such as bar peeling and heat treatment, and are now taking the next step to further improve steel quality and work in an even more sustainable way,” says Ovako Smedjebacken–Boxholm Business Area Manager Rickard Qvarfort.
The facility, which is one of the company’s largest investments in the last ten years, is planned to be operational in the second half of 2019.
Stephanie Beudat, Head of External Communications
Tel: +46 (0)8 622 13 43