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Ramp-Up of New Ternium Lines Moving Quicker Than Expected
05/06/2026 - Latin American steel producer Ternium is ramping up the new cold mill and galvanizing line at its Pesquería facility and expects to start the facility’s new steel shop later this year.
According to chief executive officer Máximo Vedoya, the ramp-up of the cold mill and galvanizing line are ahead of schedule, with both expected to be close to full capacity by October.
He also said work on the electric arc furnace steel shop and direct reduced iron plant are advancing in line with expectations.
“This project is central to our strategy,” Vedoya told analysts during the company’s first-quarter earnings call. “It will significantly increase our vertical integration in Mexico, reduce our reliance on externally sourced slabs and enhance our product capabilities across automotive, industrial and construction applications. Importantly, as the automotive USMCA rule of origin enters into effect next year, this facility will position Ternium as a key player in meeting a growing demand,” he said.
The meltshop is designed to produce 2.6 million metric tons annually, and the direct reduced iron furnace will be capable of making 2.1 million tons annually.
The steel shop will feed slabs to the facility’s rolling mill, which started up in mid-2021.
He also said work on the electric arc furnace steel shop and direct reduced iron plant are advancing in line with expectations.
“This project is central to our strategy,” Vedoya told analysts during the company’s first-quarter earnings call. “It will significantly increase our vertical integration in Mexico, reduce our reliance on externally sourced slabs and enhance our product capabilities across automotive, industrial and construction applications. Importantly, as the automotive USMCA rule of origin enters into effect next year, this facility will position Ternium as a key player in meeting a growing demand,” he said.
The meltshop is designed to produce 2.6 million metric tons annually, and the direct reduced iron furnace will be capable of making 2.1 million tons annually.
The steel shop will feed slabs to the facility’s rolling mill, which started up in mid-2021.
