HYUNDAI-POSCO Louisiana Steel selects SMS technology for new steel plant

by David Fleschen

HYUNDAI-POSCO Louisiana Steel (HPLS) has awarded SMS group a major contract to supply rolling mill technology for its new integrated steel plant in Donaldsonville, Louisiana.

The greenfield facility, backed by Hyundai Steel, POSCO, Hyundai Motor Company and Kia, is scheduled to start operations in 2029 and will primarily supply high-grade automotive steel to the US market.

The order includes a hot strip mill, a pickling line tandem cold mill, an acid regeneration plant and integrated logistics solutions from AMOVA. According to SMS group, the new mills are designed for an annual capacity of 2.8 million tonnes of hot-rolled steel and two million tonnes of cold-rolled steel.

Focus on automotive steel production

The new facility is intended to strengthen domestic supply chains for automotive steel in the United States, particularly for Hyundai Motor Group’s North American production network.

SMS said the rolling mills will feature advanced automation and process control systems designed for premium automotive grades, including third-generation advanced high-strength steels (AHSS).

The hot strip mill will include a seven-stand finishing mill equipped with CVC® plus technology, advanced cooling systems and digital process models to optimise flatness, profile control and microstructure properties.

The line is designed to process strip thicknesses ranging from 1.2 mm to 25.4 mm and widths of up to 1,900 mm.

Integrated cold rolling and acid recovery

The compact pickling line tandem cold mill combines turbulence pickling technology with a five-stand cold rolling mill. The plant will also feature an integrated acid regeneration system capable of recovering up to 9,000 litres of hydrochloric acid per hour, reducing waste and improving environmental performance.

According to SMS, the coupled pickling and rolling process will allow continuous production without intermediate storage, supporting annual output of nearly two million tonnes of cold strip.

The line will also be able to produce pickled and oiled hot rolled coils with an annual capacity of 112,000 tonnes.

Large-scale investment in US steel production

The Louisiana project represents a multi-billion-dollar investment aimed at expanding US production of high-quality automotive steel.

“With this order, SMS group underscores its leading position as a supplier of integrated rolling mill solutions in North America,” said Steffen Krausa, Sales Director at SMS group.

He added that the investment will help secure local supply of automotive steel sheet for major carmakers operating in the United States, including Hyundai Motor Group.

Source and Photo: SMS Group