SSAB Europe improves efficiency in pipe production

Swedish steel company SSAB is investing SEK 300 million (US $ 33 million) to improve pipe production efficiency.

The two-year project will focus on centralizing the company's pipe business to ensure long-term competitiveness by increasing sales of high quality products that are more profitable than standard products.

SSAB has pipe production facilities in Hämeenlinna, Lappoch and Pulkil, as well as a spiral welded pipe production facility in Oulainen. The production of the sections takes place in Toyala.

According to SSAB, workers' consultations have already taken place at the Lappoi pipe plant in Finland. The plan is to close the mill by the end of 2020. There are no workforce changes planned at this facility for the current year, but the goal is to phase out the workforce gradually during the 2019-2020 fiscal year, with everyone working elsewhere under SSAB in Finland.

The main focus of the investment will be on the modernization of production lines at the company's Hämeenlinna pipe plant. Development programs will be established for other plants and will be reviewed separately at a later stage, SSAB said.