Gerdau S.A., one of the largest steelmakers in Brazil, held an inauguration ceremony on March 11 for its investment of R$1.5 billion to expand the hot-rolled coil (HRC) production capacity at its Ouro Branco plant. This expansion will add 250,000 tons to its annual HRC production, reaching a total capacity of 1.1 million tons by 2025.

The Ouro Branco plant accounts for 12% of Brazil’s total steel production. The capacity expansion in this unit is to supply steel for machinery, equipment, and automotive sectors.

The investment is part of a R$6 billion investment plan to strengthen the company’s operations in Minas Gerais by 2026.

During the construction and installation phase, the project generated more than 2,500 jobs in the region.